South Africa’s rand opens weaker as global EM jitters persist


JOHANNESBURG – South Africa’s rand opened weaker on Monday as global risk aversion continued to put pressure on emerging market currencies.

At 0640 GMT the rand was 0.2 percent weaker at 14.6700 per dollar compared to a close of 14.6400 on Friday in New York.

The greenback firmed in early trade as safe-haven demand persisted, with escalating trade tensions between the United States and its trading partners, and the plunge in the Turkish lira keeping emerging market currencies on the ropes.

With no major local economic releases due and liquidity low, traders expect the rand to be driven by technical factors, with stops at 15.00 the key bear target.

Bonds were firmer, with the yield on the benchmark bond due in 2026 down 4.5 basis points at 8.99 percent.

Stocks were set to open higher at 0700 GMT, with the Johannesburg Stock Exchange’s Top-40 futures index up 0.65 percent.

Reporting by Mfuneko Toyana; Editing by Ed Stoddard

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Godwin Okafor is a Financial Journalist, Internet Social Entrepreneur and Founder of Naija247news Media Limited. He has over 16 years experience in financial journalism. His experience cuts across traditional and digital media. He started his journalism career at Business Day, Nigeria and founded Naija247news Media in 2010. Godwin holds a Bachelors degree in Industrial Relations and Personnel Management from the Lagos State University, Ojo, Lagos. He is an alumni of Lagos Business School and a Fellow of the University of Pennsylvania (Wharton Seminar for Business Journalists). Over the years, he has won a number of journalism awards. Godwin is the chairman of Emmerich Resources Limited, the publisher of Naija247news.

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