Rand weaker in risk-off trade
Investors shy away from risk assets due to ongoing concern about decelerating global growth
The rand was weaker against major global currencies on Tuesday afternoon, performing worst among its emerging-market peers, amid a risk-off tone in global markets. Warnings from the International Monetary Fund (IMF) over economic growth in 2019 prompted the decline in sentiment. The dollar was firmer due to investor interest in safe-haven assets, analysts said. At 2pm, the rand was 0.61% weaker at R13.9088/$, 0.51% lower at R15.797/€ and 0.62% softer at R17.9346/£. The euro was flat at $1.1358. The rand fared worst against the pound, despite Brexit uncertainty. Sterling found support from better-than-expected November job numbers. Unemployment fell to 4% in that month — a 44-year low — while the market had expected a rate of 4.1%. UK Prime Minister Theresa May unveiled her back-up plan on Monday, which consists of pushing Brussels for further concessions on the Irish backstop issue. Parties had agreed previously to avoid any hard border between Ireland and Northern Ireland, which co...
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