The South African rand weakened for the third day in a row on Wednesday as a stronger U.S. greenback and hypothesis over additional lockdown restrictions weighed on sentiment.
However the native inventory market continued to climb, helped by good points for mining corporations.
Discuss of recent restrictions that will exacerbate an already bleak financial outlook got here because the nation’s Nationwide Coronavirus Command Council, which makes suggestions to the cupboard, met to debate rising COVID-19 infections and deaths.
Africa’s most industrialised economic system has recorded probably the most COVID-19 instances and deaths on the continent, with greater than 1.1 million infections and over 30,000 deaths thus far.
At 21:47, the rand was down roughly 2.85% at 15.0915 in opposition to the greenback from an in a single day shut of 14.9900.
Authorities bonds have been little modified, with the yield on the benchmark 2030 bond up 1 foundation level at 8.695%.
However the JSE’s All-Share index ended up 1.54% at 61,857 factors, its highest ever.
The Prime-40 index closed up 1.61% at 56,878 factors, additionally a brand new peak.
Merchants stated the key enhance to the indices got here from heavyweight commodity corporations that don’t clearly replicate the state of the home economic system and are largely depending on world components.
“The principle theme is that useful resource and commodity shares are doing so much higher,” stated Greg Davies, a dealer with Cratos Capital. The weaker rand was serving to commodity shares, he added.