The rand could fall to R19/$

[rph72]

Indeed, or they could just downgrade us one notch above junk status

I think we are already one notch above junk status.

 

[Purply]

I think we are already one notch above junk status.

Not by Moody's we ain't

The other two yes.

 

[rph72]

Not by Moody's we ain't

The other two yes.

Ok, thanks.

 

[FrankieK]

Draghi has spoken!!!!

 

[HavocXphere]

If the ratings agency completes their review and it ends up with us not having junk status, that might end up with a stronger rand?
Or at least a bit more investor confidence.

Unlikely. Moody's will move SA down one notch, being still one above junk. Which means all 3 agencies have SA one step above junk.

I'm inclined to think S&P will be first to move to junk.

 

[Mike Hoxbig]

There seems to be a lot of fear mongering around this junk rating. SA was rated junk before 2001 and life went on fine. It's just that we're not going to have it as good as we did for the past decade or so. It's not like there's no way out once you hit junk...

 

[Purply]

What happened, one second we at R15.05/$ and now it's back at R15.40/$

*edit*

Oh nevermind, I see Zuma got 5% salary increase.......that explains it.

 

[AirWolf]

What happened, one second we at R15.05/$ and now it's back at R15.40/$

*edit*

Oh nevermind, I see Zuma got 5% salary increase.......that explains it.

Currency to trade 35c higher inside SA than outside to cover Zuma's salary increase .






.

 

[Oopsie]

Another 25 bp rise in interest rates this week will see the USD/ZAR below 14.5 as money pours in again.

 

[DeathStrike]

Another 25 bp rise in interest rates this week will see the USD/ZAR below 14.5 as money pours in again.

Source?

 

[HavocXphere]

Source?

Crystal ball I'd imagine. Not sure what kind of source you expect for a prediction...

 

[DeathStrike]

Crystal ball I'd imagine. Not sure what kind of source you expect for a prediction...

Well I didn't know it was a prediction. Thought he read an article on news24 that I might have missed.

 

[Purply]

Another 25 bp rise in interest rates this week will see the USD/ZAR below 14.5 as money pours in again.

So many things taking place this week, doubt many people will be focusing on SA that much.
BOE,SNB,BOJ and US Fed rates updating this week, those will take most of the focus away from little o SA.

 

[Pho3nix]

Another 25 bp rise in interest rates this week will see the USD/ZAR below 14.5 as money pours in again.

Should that not be at the end of the month?

 

[Oopsie]

According to Moneyweb, analysts are expecting the interest rate to increase by 25 bp on Wed or Thursday. There is more chance of an increase than it staying at the same level.
Overseas interest rates are ridiculously low and this will attract foreign investment into SA.
Remember that goofy guy that called the ZAR at 13.8 soon some weeks back while SA investors were rushing to buy the $? That was me and I have been correct so far despite the 1 political blunder and the 1 squabble that sent the ZAR reeling down.

 

[Purply]

Down 2.03% so far for the day, sitting at R15.52/$ :/

 

[Oopsie]

ZAR down by 0.11%. A negative day will happen as traders bank profits. You cannot expect the ZAR to gain every day.

 

[HavocXphere]

ZAR down by 0.11%. A negative day will happen as traders bank profits. You cannot expect the ZAR to gain every day.

Not very convincing. Amusing though.

 

[wombling]

Every time I look at the exchange rate, I hear the sound of toilets flushing.

 

[Purply]

ZAR down by 0.11%. A negative day will happen as traders bank profits. You cannot expect the ZAR to gain every day.

If only it was profit taking, Gordhan badmouthed one of the SARS people again *sigh*