for subscribers

Recession shock knocks volatile rand

Share your Subscriber Article
You have 5 articles to share every month. Send this story to a friend!

Cape Town – The rand see-sawed backwards heavily on Tuesday after Statistics South Africa revealed the country is in a technical recession for the second time in eight years as gross domestic product (GDP) contracted 0.7% for the first quarter of 2017.

The Madiba-clad currency erased gains made in a strong morning against the dollar, which saw the rand strengthen by 1% at 04:20 to trade at R12.69 to the dollar. By 12:25, it had reversed these gains, dropping 1.4% to trade at R12.89/$. 

Yields on rand-denominated government bonds due December 2026 rose 6 basis points to 8.49%, the first increase in five days. The six-member banks index extended declines after the release, dropping 1.7% in Johannesburg.

There’s more to this story
Subscribe to News24 and get access to our exclusive journalism and features today.
Subscribe
Already a subscriber? Sign in
ZAR/USD
17.41
(-0.05)
ZAR/GBP
22.76
(+0.02)
ZAR/EUR
20.58
(+0.01)
ZAR/AUD
12.46
(-0.05)
ZAR/JPY
0.16
(-0.11)
Gold
1950.20
(-0.35)
Silver
26.87
(-2.11)
Platinum
950.00
(-0.94)
Brent Crude
45.01
(-1.03)
Palladium
2157.99
(-0.53)
All Share
57419.46
(+0.00)
Top 40
53082.08
(-0.08)
Financial 15
10227.06
(+0.86)
Industrial 25
75743.15
(-0.61)
Resource 10
59161.88
(+0.29)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 990 votes
It depends on how the funds are used.
74% - 6624 votes
No. We should have gotten the loan elsewhere.
15% - 1391 votes
Vote