The JSE all share showed little reaction to the sharply weaker rand at the opening on Wednesday, following the Workers’ Day public holiday on Tuesday, with gold stocks early leaders.The gold price was 0.48% higher at $1,310.12 an ounce as the dollar hit $1.20 to the euro.Investors took a wait-and-see attitude on expectations the rand might firm again from present levels, regarded as oversold. A weaker currency usually supports rand hedges and miners.The rand plummeted to its weakest level in four months against the dollar, as a number of global headwinds hit the local currency in a firmer dollar environment.These include the local trade deficit, continuing strikes and unrest, the effects of US trade measures and the expectation of a continuation of the hawkish outlook from the US Federal Reserve, analysts at Nedbank Corporate and Investment Banking said.The rand weakened to R12.6597 to the dollar in overnight trade and was at R12.5812 at the JSE’s opening.Although SA’s trade balance...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, Morningstar financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00.