Peregrine Treasury Solutions

14 Aug 18

Rand Firms by 2.5% Against the Dollar in Early Trade


Bianca Botes, corporate treasury manager at Peregrine Treasury Solutions, said in a morning note that the massive swing in the rand's value reflects the extent to which it was oversold. Botes said that while correction could also be influenced by Monday's Constitution Court’s ruling that the appointment of National Prosecuting Authority head Shaun Abrahams was unconstitutional, this would have only had a small impact.

Read More
14 Aug 18

The Real Cost of Banking


Fees have increasingly been in the spotlight in 2018, and with rising competition in the banking sector and budgets coming under severe pressure, Bianca Botes, Corporate Treasury Manager at Peregrine Treasury Solutions, notes that it is high time South African businesses took a hard look at their banking costs.

Read More
13 Aug 18

Rand Plunges in Early Trade in Emerging Market Rout


The rand plunged in early trade on Monday to briefly trade under R15/$, before strengthening, as it continued to be dragged lower by the Turkish lira and Russian rouble. The local currency opened at R14.13/$ and immediately plunged to under R15/$ for the first time since mid-2016. It was changing hands at R14.65 to the greenback at 07:46. By 08:32 it had strengthened to trade at R14.37/$.

Read More
13 Aug 18

This is Why the Rand is Nose-Diving


The rand’s continuing plunge on Monday has been mostly due to emerging-market contagion based on events in Turkey, but other factors are conspiring to ensure the local currency is set for a turbulent few months. Global monetary policy tightening: the US Federal Reserve and European Central Bank are currently moving to unwind unprecedented levels of monetary policy stimulus put in place in the wake of the 2009 financial crisis. Emerging-market currencies and bonds have benefited from ultra-low interest rates in developed markets, as these have prompted investors to seek higher yield.

Read More
13 Aug 18

SA Rand Tumbles Against Dollar as Sentiment Turns Against Emerging Markets


South Africa's rand fell over eight percent to its weakest level in more than two years against the US dollar on Monday, breaching the 15.00 mark as turmoil in Turkey turned investors against emerging market currencies. The rand's depreciation, which took it to around 15.40 against the dollar at one point, reflected weakness in the Turkish lira in the wake of sanctions imposed by the United States, with other emerging market currencies such as Argentina's peso also affected.

Read More