SA Rand Steadies Amid Easing Fed Rate Hike Bets
The South African rand held steady against major currencies on Thursday as investors reassessed the likelihood of a near-term Federal Reserve rate hike following softer US inflation data.
According to First National Bank (FNB) stockbroking and portfolio management, the South African sovereign unit traded at R16.16 per dollar, R18.61 per euro, and R21.79 per pound.
Analysts said that with US consumer inflation coming in as expected, markets have pared expectations of a near-term Federal Reserve rate hike, providing support for emerging-market currencies.
Gold prices remained little changed at $4,398 per ounce, holding near ten-week highs after softer US inflation reduced pressure on the Federal Reserve to tighten monetary policy in the near term.