Rand falls the most in a week as Saudi attacks send investors to safe havens
The price of Brent crude jumped more than 9% on Monday morning after a drone attack on a Saudi Arabian facility
16 September 2019 - 10:28
UPDATED 16 September 2019 - 14:14
byOdwa Mjo
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The rand fell the most in a week on Monday morning after attacks on oil facilities in Saudi Arabia drove oil prices up, with investors scurrying for safe havens such as gold and the dollar.
The price of Brent crude jumped more than 9% on Monday morning after a drone attack on a Saudi Arabian facility at the weekend, wiping out more than half of the country’s oil supply, about 5% of global oil supply, Reuters reported.
“The drone attack ... is causing havoc for certain emerging- markets this morning” due to the effect of higher oil prices on inflation, Standard Bank currency dealer Warrick Butler said.
“For countries like SA and Turkey, who are net importers, the negative impact is greater.”
At 9.55am, the rand had weakened 0.25% to R14.6622/$, 0.27% to R16.2394/€ while it was flat at R18.2696/£. The euro was little changed at $1.1075.
Gold was up 1.8% to $1,504.60 while platinum was flat at $955.36. Brent crude climbed 9.03% to $65.55 a barrel.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Rand falls the most in a week as Saudi attacks send investors to safe havens
The price of Brent crude jumped more than 9% on Monday morning after a drone attack on a Saudi Arabian facility
The rand fell the most in a week on Monday morning after attacks on oil facilities in Saudi Arabia drove oil prices up, with investors scurrying for safe havens such as gold and the dollar.
The price of Brent crude jumped more than 9% on Monday morning after a drone attack on a Saudi Arabian facility at the weekend, wiping out more than half of the country’s oil supply, about 5% of global oil supply, Reuters reported.
“The drone attack ... is causing havoc for certain emerging- markets this morning” due to the effect of higher oil prices on inflation, Standard Bank currency dealer Warrick Butler said.
“For countries like SA and Turkey, who are net importers, the negative impact is greater.”
At 9.55am, the rand had weakened 0.25% to R14.6622/$, 0.27% to R16.2394/€ while it was flat at R18.2696/£. The euro was little changed at $1.1075.
Gold was up 1.8% to $1,504.60 while platinum was flat at $955.36. Brent crude climbed 9.03% to $65.55 a barrel.
mjoo@businesslive.co.za
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