The ZAR Exchange Rate Thread

[Dave]

Partially am. I have a lot of dollars at the moment I need to shed. Have R100k expense coming up next month

That Colombian "consignment" on its way?

 

[Hamish McPanji]

That Colombian "consignment" on its way?

Delivered and sold already. My Scottish friend ensured it's safe passage here, now have to pay the suppliers

 

[Garson007]

Dammit. Going to the US on holiday. Would like to save a couple of K.

 

[TysonRoux]

Moved funds to the US with Exchange4Free on Monday 10 July 2017 and got R13.59 to the $.

Really good service and no clearance needed for the R1mil per year discretionary allowance.

 

[Knyro]

Partially am. I have a lot of dollars at the moment I need to shed. Have R100k expense coming up next month

Look at these "paid in rands" plebs running around panicking.

 

[Swa]

Hope this holds for my commission.

 

[Solitude]

Why is the rand dropping so much today?

 

[FlashSA]

Why is the rand dropping so much today?

Moody's report states that the Reserve Bank dropped rates last week to appease the ANC government, as in, bowing to political pressure....

 

[Solitude]

Moody's report states that the Reserve Bank dropped rates last week to appease the ANC government, as in, bowing to political pressure....

That sucks. Thanks!

 

[Lupus]

Wouldn't dropping the rates spur on spending and eventually economic growth? I see it's lost 30c to the dollar and quite a bit to other currencies

 

[Knyro]

Wouldn't dropping the rates spur on spending and eventually economic growth? I see it's lost 30c to the dollar and quite a bit to other currencies

It's a balancing act. Dropping the rate too much also drops demand for the currency since creditors earn less interest. It also encourages forex traders to short the rand, especially in carry trades, dropping the value even further.

How's that @Pho3nix?

 

[Lupus]

But 25 basis points isn't a lot

 

[Knyro]

Clearly the market disagrees.

 

[Pho3nix]

It's a balancing act. Dropping the rate too much also drops demand for the currency since creditors earn less interest. It also encourages forex traders to short the rand, especially in carry trades, dropping the value even further.

How's that @Pho3nix?

Master is impressed thoughts on where it will land since it broke the 13.20 resistance?

 

[JayM]

Dollar has been performing poorly over the past few weeks, so it doesn't look that bad. ZAR significantly weaker against GBP and even worse against the Euro.

 

[Knyro]

Master is impressed thoughts on where it will land since it broke the 13.20 resistance?

/shrug

I've got my hands full with USDJPY.

 

[d0b33]

It's a balancing act. Dropping the rate too much also drops demand for the currency since creditors earn less interest. It also encourages forex traders to short the rand, especially in carry trades, dropping the value even further.

Isn't the Euro at 0% interest currently?

 

[Pho3nix]

/shrug

I've got my hands full with USDJPY.

Do tell.. scalping or swinging?

 

[Pho3nix]

Isn't the Euro at 0% interest currently?

It is.
To illustrate this point, tomorrow morning is the Aud interest rate decision. If the rate remains the same or drops, Aud will fall in value. If it rises, it will strength.
@10:18pm it is 0.79970 as per http://www.xe.com/currencycharts/?from=AUD&to=USD

 

[Knyro]

Isn't the Euro at 0% interest currently?

The interest rate won't be the only factor obviously. I was illustrating how changes in the interest rate could have an effect on the exchange rate.

Do tell.. scalping or swinging?

I've been scalping so far but I think I want transition to swinging. crypto is hectic enough without me constantly worrying about forex charts as well.