Peregrine Treasury Solutions

02 Jul 18

Rand Down Nearly 1% Against Dollar in Early Trade


The rand weakened in early trade on Monday morning, losing almost 1% against the dollar. At 10:04 it was trading at R13.84/$, down 0.85% on the day. Analysts say geopolitics - especially the trade war between China and the US over market access and tariffs - are likely to keep the local currency on the back foot.

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22 Jun 18

Rand shrugs off current account deficit to firm in early trade


The rand firmed slightly in early trade on Friday, shrugging off a widening current account deficit to reach its best level this week. At 11:04 it was trading at R13.52 against the dollar, up 0.41%. On Thursday the Reserve Bank announced that SA's current account deficit had widened to 4.8% of GDP, which initially caused the local currency to weaken.

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21 Jun 18

Using Derivatives to Manage Currency Risk … and Add to your Bottom Line


Trade is an important element of the South African economy and we have a lively forex market: the rand is the world’s 20th most traded currency, making up 1% of the world’s daily currency trading, according to the Bank for International Settlements (BIS). However, players in the import/export industry are missing an opportunity to improve their performance by neglecting to manage their forex risks carefully. “The typical exporter spends the least amount of time on managing forex and forex risk. Often, they will either simply use the spot rate or they opt to protect everything. Both passive strategies could be costing them additional profit,” explains Peregrine Treasury Solutions Corporate Treasury Manager Paul Muller.

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14 Jun 18

Rand Remains under Pressure, JSE Climbs


The rand started off on the back foot yesterday as the market awaited the outcome of the Federal Open Market Committee meeting where the Federal Reserve was expected to hike the US interest rate by 25 basis points. Volatility in the domestic currency was evident in line with analysts’ expectations as it traded within a range of R13.21 to R13.40 before recovering some of its losses in afternoon trade.

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13 Jun 18

Emerging Market Factors to Blame For Rand's Dive - Economist


In the early hours of Monday morning, the currency fell to over R15 to the dollar, marking a complete turnaround from the nine-month record low of around R14.11 on Friday. Economists say that emerging market factors are to blame for the more than 10% dive in the rand-dollar exchange. In the early hours of Monday morning, the currency fell to over R15 to the dollar, marking a complete turnaround from the nine-month record low of around R14.11 on Friday.

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