The rand stretched its relief rally in mid-morning trade on Tuesday, benefiting from a broad retreat in the dollar after US President Donald Trump took aim again at the US Federal Reserve for raising interest rates. The weaker dollar also played out favourably for commodity prices, notably platinum that rebounded from its lowest level since 2008. The price of platinum was up nearly 1% to $801.79 an ounce, helping take pressure off platinum stocks, such as Impala Platinum that had plunged to levels last seen in 1999.
The Fed is among a handful of central banks in developed economies that has been on a rate-hiking cycle since late 2015, though the pace of the increases has been moderate and largely symbolic. Higher US rates have tended to boost the value of the dollar at the expense of the rand and other high-yielding currencies, which were beneficiaries of ultra-low interest rate environments following the global financial crises. "One of the main stories so far this week is a ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.