Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

The South African Rand gained against a softer US Dollar on Monday, while extending a 3.05% advance last week, after recent macro data added to expectations that the Federal Reserve had probably ended its policy tightening cycle.

Data showed on Friday that the US economy had added only 150,000 job positions in October – almost two times fewer compared to September’s revised down figure of 297,000.

The figures suggested the US labor market was slowly cooling, since several strikes, including from members of the UAW, pressured the manufacturing payrolls.

The Rand gained almost 0.9% on Friday as longer-term US Treasury yields pulled back from October’s multi-year highs.

“More evidence that the U.S. will experience a soft landing has created a perfect environment for the rand, with the USD weaker,” Rand Merchant Bank analysts wrote in an investor note, cited by Reuters.

The analysts also noted that Fed rate cuts could occur as early as May.

As of 10:27 GMT on Monday USD/ZAR was edging down 0.27% on the day to trade at 18.2045. Earlier in the session, the exotic Forex pair went down as low as 18.1562. The latter has been the pair’s weakest level since August 1st (17.7866).

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Ford shares close lower on Wednesday, auto maker announces the recall of 375,000 Explorer SUVsFord shares close lower on Wednesday, auto maker announces the recall of 375,000 Explorer SUVs Ford Motor Co (F) announced on Wednesday the recall of nearly 375,000 Explorer SUVs in North America, because of a part that could detach and cause a crash. Ford shares closed lower for the seventh time in the past ten trading sessions […]
  • Forex Market: GBP/USD daily trading outlookForex Market: GBP/USD daily trading outlook Yesterday’s trade saw GBP/USD within the range of 1.4642-1.4775. The pair closed at 1.4708, rising 0.42% compared to Tuesdays close. It has been the 127th gain in the past 278 trading days. The major pair has added 1.86% to its value so far in […]
  • Commodities trading outlook: gold, silver and copper futuresCommodities trading outlook: gold, silver and copper futures Gold and silver futures were only slightly impacted by the major decision by the ECB to lower the central lending rate to a historic low of 0.05%. Meanwhile, copper futures gained as the ECB was seen supporting the real EU economy.Gold […]
  • Forex Market: USD/RUB daily forecastForex Market: USD/RUB daily forecast During yesterday’s trading session USD/RUB traded within the range of 35.468-35.925 and closed at 35.731, gaining 0.31% on a daily basis.At 8:22 GMT today USD/RUB was down 0.46% for the day to trade at 35.664. The pair touched a daily low […]
  • Weekly market wrap-up, Companies to watch In the week 18th – 22nd October stocks hit an all-time hi after the S&P 500 completed a seven-day winning streak, backed up by the earnings release. Factors such as the surrounding troubles with the constantly high “temporary inflation”, the […]
  • Forex Market: EUR/CHF daily forecastForex Market: EUR/CHF daily forecast During yesterday’s trading session EUR/CHF traded within the range of 1.2140-1.2162 and closed at 1.2143.At 7:07 GMT today EUR/CHF was gaining 0.03% for the day to trade at 1.2147. The pair touched a daily high at 1.2148 at 6:57 […]