The ZAR Exchange Rate Thread

[Sinbad]

Ask: 11.1942


And to all those who say "oo oo it's dollar strength":



Dollar is weakening.

 

[Drifter]

Cant the Goevernment jump in and do something to stabalize this crash? I've got stuff to buy in Pounds.

 

[LazyLion]

Cant the Goevernment jump in and do something to stabalize this crash? I've got stuff to buy in Pounds.

You mean like deal with crime, labour unrest, market uncertaintly, government corruption, and unfavourable investment environment, etc?

haha, you're funny.

 

[Sinbad]

RMB Global Markets ‏@RMB_GM 12m
The resistance level of 11.05, last night’s high, has been broken and we can possibly hit 2008 highs of 11.87

 

[Zyzzyva]

R11.1728

This is definitely going to collapse. As said, volumes are around a quarter of yesterdays yet the range is heading to around 150% of yesterday. Watch this drop all the way back to R11.00.

My biggest concern is just that the longer it remains above R11.00 the better the support being built i.e. the more difficult it will be to break back below that level.

Perhaps, we'll see a pullback eventually, but the combination of the local labour issues and the general flight from EM currencies caused by the poor Chinese data is a bit of a perfect storm which could quite easily cause the Rand to continue higher for quite some time.

 

[Drifter]

You mean like deal with crime, labour unrest, market uncertaintly, government corruption, and unfavourable investment environment, etc?

haha, you're funny.

Not trying to be. There has been government intervention before to get the Rand back to acceptable levels.

 

[Sinbad]

Not trying to be. There has been government intervention before to get the Rand back to acceptable levels.

That past intervention has not been fun. I don't fancy a repo rate of 22% thank you very much.

 

[Zyzzyva]

RMB Global Markets ‏@RMB_GM 12m
The resistance level of 11.05, last night’s high, has been broken and we can possibly hit 2008 highs of 11.87

Yeah there really isn't much resistance till then. The only minor level is around 11.40-50.

https://www.tradingview.com/x/nLd3SXsw/

 

[Jola]

That past intervention has not been fun. I don't fancy a repo rate of 22% thank you very much.

High interest rates are typically a remedy for poor performance by government.

It may be the only medicine.

 

[Sinbad]

High interest rates are typically a remedy for poor performance by government.

It may be the only medicine.

It'll destroy the economy. Consumers will not handle it at all. Housing market crash, massive credit defaults, doom and gloom.

 

[Jola]

It'll destroy the economy. Consumers will not handle it at all. Housing market crash, massive credit defaults, doom and gloom.

Government has already laid the groundwork for that, it is inevitable. #ProudlyBroughtByANC

 

[lucifir]

It'll destroy the economy. Consumers will not handle it at all. Housing market crash, massive credit defaults, doom and gloom.

I think its what we need though, as people having been going into massive debts without thinking about the consequences and then expecting their employers to just up their salary , aka mine strike.
People need to learn the value of money, and sometimes they only learn the hard way

 

[Drifter]

To hike interest rates would be the worst thing they can do. Millions of consumers are on the brink of financial collapse, even 1/2 % will cripple them.

 

[MKFrost]

To hike interest rates would be the worst thing they can do. Millions of consumers are on the brink of financial collapse, even 1/2 % will cripple them.

Exactly why I laugh when I hear people and agents tell me that we are at the start of the next property boom.

Rates will go up. The longer its postponed the more they will have to hike. I see at least a 1% hike by year end.

 

[Sinbad]

Exactly why I laugh when I hear people and agents tell me that we are at the start of the next property boom.

Rates will go up. The longer its postponed the more they will have to hike. I see at least a 1% hike by year end.

Yup, but raising rates will kick us into stagflation and a depression. As it is, growth is nearly at a standstill.

 

[MKFrost]

Yup, but raising rates will kick us into stagflation and a depression. As it is, growth is nearly at a standstill.

I know, I feel for the avg. consumer as I think the worse is still ahead.

Only sure way to weather this is to be setup on both sides so that you can ride it both ways.

 

[Scooby_Doo]

Everytime i see this thread float to the top of the search list I get scared...

 

[Zyzzyva]

Tough week for EM's.

 

[bgotapen]

I wonder what will the elections bring regarding the rand, they say the rand is undervalued and that after the elections we will see the rand getting stronger again.

I however think if the Eff wins more than 10% of the vote we will never see R10/1$ ever again...

 

[dunkyd]

The Ront will only improve when big relevant companies stop having to mention AA and BEE in adverts for vacancies.....