RAMAPHOSA FACTOR
Rand rises to its strongest in a week
The rand remains stuck in a tight range as the market waits for the outcome of the elections
The rand rose to the strongest level in a week against the dollar on Wednesday as millions of South Africans took part in an election that may make or break President Cyril Ramaphosa’s reform drive. SA’s currency gained as much as 0.9% to R14.3054/$, the strongest since May 1, and was 0.3% stronger at R14.3941/$ by 7.20pm SA time. It was 0.37% stronger at R16.1067/€ and strengthened almost 1% against the British pound, which was hit by receding confidence that the UK’s two major parties would reach a compromise on a Brexit deal with the EU. Gains in the past two trading days reversed some of the recent losses, which were partly attributed to surveys that gave mixed signals on the results. That heightened anxiety among those who think that a less-than-convincing win for the ANC might not only derail Ramaphosa’s agenda but could also see him being removed and replaced by someone from the faction aligned with his predecessor, Jacob Zuma.
"The expectation is that the ANC will rece...
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