Rand gains from Theresa May’s Brexit pain
UK banks were battered across the board by the prospect of a Brexit that damages the economy
The rand jumped the most against the pound since December 2017, as the risk of a collapse of the British government and a chaotic break with the EU overshadowed local concerns about property rights. On a day that a parliamentary committee recommended a constitutional amendment to allow the expropriation of land without compensation, the rand gained as much as 2.7% against the British currency, the biggest intraday gain since December 15 2018 — three days before Cyril Ramaphosa narrowly defeated Nkosazana Dlamini-Zuma in the race to lead the ANC, paving the way for him to replace Jacob Zuma as the country’s president in February. UK banks were battered across the board by the prospect of a Brexit that damages the economy, with Barclays, Absa’s former majority shareholder, falling about 8%. Royal Bank of Scotland Group fell more than 10%. Standard Bank, SA’s biggest lender, gained 1.3%. The rand was 2.32% higher at R18.26 a pound by 5.12pm. It also rose against the dollar, appreciatin...