Money SA economy
The rand was a lot firmer in afternoon trade on Tuesday on "technical correction" and improved risk appetite.
A local dealer said that rand weakness against some of the crosses - especially the euro and British pound - had been overdone and the currency was now correcting.
At 3.41pm local time the rand was bid at R7.63 to the dollar, R9.58 to the euro and R11.56 to the pound. The euro was bid at $1.2566 from $1.2537 overnight.
A local dealer said: "The rand could strengthen even further if it manages to break through 7.55 vs the US dollar by the close of trade. This rally is to do with the technical correction on the crosses, combined with an improved appetite for risk."
Dow Jones Newswires reports that the US dollar fell against the Australian dollar and other currencies closely tied to global growth on Tuesday after the Reserve Bank of Australia (RBA) held the line on interest rates, but said inflation pressures could necessitate future increases.
Strong commodity prices also underpinned the Australian economy's outlook, with its biggest monthly trade surplus since March 2009 announced on Tuesday.
The euro and pound both gained on the dollar.
