MARKET WRAP: Rand erases losses as Reserve Bank signals next rates move is higher
The Bank’s monetary policy committee holds repo rate at 3.5% and raises GDP outlook slightly
The rand ended the day barely changed on Thursday after erasing earlier losses that pushed it to an almost one-week low, following the Reserve Bank’s decision to kept interest rates on hold and signalling that the next move will likely be higher.
After falling as much as 0.8% to R15.5828/$, the currency was at R15.4664/$ by 6.45pm, down less than 0.1% from its level on Wednesday. It found some strength after Bank governor Lesetja Kganyago spoke, indicating that some traders may have bet on a surprise cut that would have reduced the appeal of holding assets denominated in the local currency...