Money SA economy
A softer rand was at the mercy of international markets by midday on Tuesday, according to a local trader.
At 12.30pm the rand was bid at R7.93 to the dollar, R11.63 to the euro and R12.93 to the pound. The euro was bid at $1.4662 from $1.4773 overnight.
"We are tracking international markets at the moment. We are seeing quite a lot of export activity, and are at the mercy of international markets," a local trader said.
Dow Jones Newswire said that the pound grabbed the market's focus yet again in European trading hours on Tuesday, tumbling to reflect fresh nerves over the health of UK banks, while the dollar has lacked direction.
More broadly, the US dollar wasn't showing clear direction, in a quiet session without key data releases. The currency gained sharply against the euro, but fell a little against the yen. Analysts said choppy, directionless moves are likely to persist for now ahead of a string of crucial central bank meetings that lie ahead this week.
The US Federal Reserve announces its latest monetary policy decision Wednesday, followed by the Bank of England and the European Central Bank Thursday. "There is a sense that market participants are waiting for [these meetings] before serious action resumes," said analysts at Brown Brothers Harriman.
