South African rand holds near 5-month high around 16.1 per USD
The South African rand trades around 16.1 per US dollar, staying close to its highest since early March, supported by expectations of a Fed pause and a weaker dollar amid softer US data.
The South African rand traded around 16.1 per US dollar, holding close to its highest since early March, as softer US economic data strengthened expectations of a Fed pause and weakened the dollar.
This encouraged demand for higher-yielding emerging-market assets, supporting the rand, while lower oil prices also eased inflation concerns.
The curency has been recovering since hitting a three-month low against the dollar following the SARB’s surprise rate hold on July 23.
Meanwhile, persistent Middle East tensions remained a source of market uncertainty.