Rand hits high after smooth poll

Johannesburg - The rand rallied more than 1.2% against the dollar to its strongest in more than four months on Thursday, riding on general buoyancy in emerging markets and amid relief at a smooth national election.

The ruling ANC party swept toward victory in the poll, giving President Jacob Zuma the political muscle to push through pro-business reforms in the face of opposition from unions and leftists whose populist rhetoric has unsettled investors.

At 15:52 GMT, the rand was trading 1.29% firmer at R10.3205/$ the greenback, not far off its session high of R10.3200/$. The local unit last traded at these levels in late December.

Government bonds followed suit, with the yield for the 2026 benchmark sliding 20.5 basis points to 8.135%. The shorter-dated 2015 issue closed 15.5 basis points lower at 6.53%.

"In general, we have started to see a much better platform for risk trades unfold," ETM market analyst Sean McCalgan said.

The rand was largely unfazed by data showing growth in South Africa's manufacturing output slowed to 0.7% year-on-year in March from 1.5% in February, undermining the case for more interest rate hikes this year.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today. Thereafter you will be billed R75 per month. You can cancel anytime and if you cancel within 14 days you won't be billed. 
Subscribe to News24
Rand - Dollar
17.96
-0.7%
Rand - Pound
19.94
-2.6%
Rand - Euro
17.60
-1.3%
Rand - Aus dollar
11.66
-0.2%
Rand - Yen
0.12
-0.4%
Gold
1,659.71
-0.0%
Silver
18.82
-0.4%
Palladium
2,201.50
+2.4%
Platinum
868.00
+0.2%
Brent Crude
89.32
+3.4%
Top 40
56,921
-0.9%
All Share
63,264
-0.9%
Resource 10
59,793
+3.2%
Industrial 25
76,769
-2.3%
Financial 15
13,707
-2.9%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders