The ZAR Exchange Rate Thread

[FlashSA]

Was just going to post the Rupee/Dollar chart. Definitely more Murica effect than Malema this week.

 

[saturnz]

, stupid USA decisions affects everyone

by design, the introduction of the BrettonWoods system and Nixon's subsequent abolishment thereof meant that most economies would be tied to the destiny of the USA economy

 

[saturnz]

Was just going to post the Rupee/Dollar chart. Definitely more Murica effect than Malema this week. View attachment 503697

I said this yesterday and a few other times as well...

and one looks at the dollar index for dollar weakness/strength....

 

[Hamish McPanji]

Yeah, it's that pesky Dollar again...

View attachment 503695

/s

Well spotted

 

[SaiyanZ]

Was just going to post the Rupee/Dollar chart. Definitely more Murica effect than Malema this week. View attachment 503697

The rand weakened 3% vs the rupee. The rupee weakened 0.5% vs the dollar.

 

[Sumen]

R11,77/$

 

[Gtx Gaming]

R11,77/$

(GDP) Annualized QoQ 3.1% up, way above that was predicted.

 

[Ockie]

R11,77/$

Due to:
ANC withdraws motion to debate nationalisation of SA Reserve Bank???

 

[Sumen]

Due to:
ANC withdraws motion to debate nationalisation of SA Reserve Bank???

Maybe a small percentage but i think it's mostly because of GDP growth in 2017 better than expected - Stats SA

https://www.fin24.com/Economy/gdp-growth-in-2017-better-than-expected-stats-sa-20180306?

shared via @Fin24

 

[FlashSA]

So what's the TL;DR on this:

1 US Dollar equals
11,93 South African Rand

 

[SaiyanZ]

So what's the TL;DR on this:

1 US Dollar equals
11,93 South African Rand

Some guys here at work feel it has to do with the Zuma charges. If he gets away then it shows that our courts/justice system doesn't work. So people are probably anticipating him getting away.

 

[Drifter]

Why is the ZAR tanking again? I thought the drop in retro rate would strengthen Rand.

 

[R13...]

Why is the ZAR tanking again? I thought the drop in retro rate would strengthen Rand.

Foreigners earn more at higher rates than lower so they're taking their speculative cash to more profitable destinations.

 

[Ockie]

Why is the ZAR tanking again? I thought the drop in retro rate would strengthen Rand.

Nope. A higher interest rate normally means investors pours money into the economy and Rand, which pushes the Rand up. A drop in interest normally weakens the Rand due to investors pulling money out.

 

[saturnz]

Why is the ZAR tanking again? I thought the drop in retro rate would strengthen Rand.

someone didn't do eco101

 

[Cage Rattler]

Not so sure if interest rates have are the prime determinant with level of the currency in the long run. Classic economists like to believe that in their ivory towers. However there are countless examples of interest rates not being causally related to currency moves at all. Rather currency moves reflect capital flows which reflect underlying confidence.

 

[krycor]

Why is the ZAR tanking again? I thought the drop in retro rate would strengthen Rand.

Amongst the interest rate talk the reserve bank said the currency will be weaker and is overvalued..

 

[APoc184]

Eish. R12.08/$

Specific reason why it has tanked so hard in the last two days?

 

[genetic]

Eish. R12.08/$

Specific reason why it has tanked so hard in the last two days?

The rand weakened to above R12 to the US dollar on Friday, amid the ongoing trade war between the US and China.

https://m.fin24.com/Markets/Currencies/rand-skids-to-over-r12-as-trade-war-intensifies-20180406

 

[saturnz]

Eish. R12.08/$

Specific reason why it has tanked so hard in the last two days?

ANC's fault, they are taking over Durban so all the investors are panicking