Money SA economy
After the Youth Day public holiday, the rand was hardly changed from its closing levels on Tuesday, tracking the euro in morning play.
At 8.53am the rand was bid at R7.6122/$ from R7.5728/$ at its previous close. It was bid at R9.3247/€ from its previous close of R9.3366/€ and was at R11.1412/£ from 11.1659. The euro was bid at $1.2261 from $1.2312 overnight.
"The market is still asleep after the public holiday. The rand hasn't changed much since closing levels on Tuesday. The rand is trading in a 7.54 to 7.64 range against the dollar. With no real direction, we'll track the euro," a local dealer said.
RMB analysts noted that markets are keenly awaiting the outcome of stress tests carried out on Spanish banks to assess their ability to withstand liquidity problems.
"Investors are growing increasingly wary of Spanish debt forcing local banks to borrow record amounts from the ECB," the analysts said.
BBVA, Spain's second largest lender, is reported to have said that financial firms are being shut out of the market.
Dow Jones Newswires reports that the euro fell against the yen and dollar in Asia on Thursday as short-term investors trimmed holdings of the risk-sensitive common currency due to weaker equities and renewed concerns over European debt woes.
Dealers said the common currency may remain under pressure in coming sessions.
