• About
  • Our Team
  • Contact Us
Tuesday, March 28, 2023
Falcons
  • Home
  • The Cases
  • Insight
  • In the Press
No Result
View All Result
  • Home
  • The Cases
  • Insight
  • In the Press
No Result
View All Result
No Result
View All Result

Home » Rand breaches R16/$ mark on bets that Joe Biden may topple Donald Trump

Rand breaches R16/$ mark on bets that Joe Biden may topple Donald Trump

by Sizwe Dlamini
May 14, 2021
in Uncategorized
Rand breaches R16/$ mark on bets that Joe Biden may topple Donald Trump

US elections could impact on the investment outcomes South African investors experience.

READ ALSO

Ramaphosa may have to consider the prospects of donning orange overalls

If it makes cash but you have no clout, Rupert and co will muscle you out


CAPE TOWN – The rand breached the R16/$ mark against the dollar on Wednesday, touching R15.97/$ during intraday trade on the back of a widening gap in the US presidential race between Donald Trump, with Biden leading the charge.

On Tuesday the greenback rebounded from a one-week low as the polls slowly trickled in for counting, showing that Trump and Biden were neck and neck.

At 5pm the domestic currency was bid at R16.02 a dollar, R18.76 to the euro and R20.80 versus the pound.

TreasuryONE currency dealer Andre Botha said with all the volatility going on in the market, anything was possible. “We will need to keep a close eye on what happens. If the US election does not get a clear winner and becomes contested, then we could be in for a rough ride.”

Schroders chief economist Keith Wade did not rule out the prospect of a continuation of the status quo, with a Trump presidency and divided Congress saying this was an outcome that would see less stimulus and the re-ignition of the trade wars, factors that would limit growth.

“Markets, which had begun to factor in a Democrat sweep and a significant stimulus bill, are now reining in their growth expectations. Estimates had suggested this could have been worth an extra 1 percentage point of growth in the US next year,” said Wade.

Peregrine Treasury Solutions executive director Bianca Botes said it was expected that a Biden win would most likely bring some stability versus the erratic behaviour we have come to know from Trump, and as a result support riskier assets.

She said a sustained break below R16/$ would open the door for the next big technical level of R15.75/$ for the domestic currency.

“In the near term, however, we can look to more volatility until the election result is confirmed and certainly there will be greater instability to come if the election is contested by Trump,” said Botes.

For now, no clear result is probably the worst possible outcome from an economic perspective as uncertainty increases and stimulus hopes fade.

BUSINESS REPORT


ShareTweet

Related Posts

Ramaphosa may have to consider the prospects of donning orange overalls
Uncategorized

Ramaphosa may have to consider the prospects of donning orange overalls

June 20, 2022
If it makes cash but you have no clout, Rupert and co will muscle you out
Uncategorized

If it makes cash but you have no clout, Rupert and co will muscle you out

October 13, 2021
AYO battles FNB in court over discrimination
Uncategorized

AYO battles FNB in court over discrimination

May 19, 2021
Does the DA hope to control Independent Media?
Uncategorized

Does the DA hope to control Independent Media?

May 18, 2021
Independent Media presents its case to SCoF, restates threat to media freedom
Uncategorized

Independent Media presents its case to SCoF, restates threat to media freedom

May 18, 2021
Oceana faces probe over BEE fraud claims
Uncategorized

Oceana faces probe over BEE fraud claims

May 18, 2021
Next Post
SA wage bill at R630bn is higher than the global norm as a percentage of GDP

SA wage bill at R630bn is higher than the global norm as a percentage of GDP

EDITOR'S PICK

Is KZN the factory of hitmen?

Is KZN the factory of hitmen?

March 8, 2023
ANC KwaZulu-Natal displays political intolerance

ANC KwaZulu-Natal displays political intolerance

February 15, 2023
Nepad concerned about South Africa’s energy crisis

Nepad concerned about South Africa’s energy crisis

February 9, 2023
ANC’s 30-year rule marked by empty promises and rhetoric

ANC’s 30-year rule marked by empty promises and rhetoric

January 23, 2023

POPULAR NEWS

Presidency reveals progress made to curb energy crisis engulfing SA

Presidency reveals progress made to curb energy crisis engulfing SA

January 23, 2023
Cyril Ramaphosa broke the law – Phala Phala Farmgate report

Cyril Ramaphosa broke the law – Phala Phala Farmgate report

December 1, 2022
Bawa accused of obstructing the course of justice

Bawa accused of obstructing the course of justice

October 27, 2022
Banks’ failure to adhere to FATF guidelines poses a major risk for SA economy

Banks’ failure to adhere to FATF guidelines poses a major risk for SA economy

August 25, 2022
RIGHT OF REPLY: The IRR will not forsake its classical liberal values

RIGHT OF REPLY: The IRR will not forsake its classical liberal values

August 18, 2022

About

The Falcons mission is to provide quality in-depth reporting on matters that would otherwise not be covered by mainstream media, to equip the public with factual information that are hidden from the public eye so they can be able to demand accountability from the country’s leadership. – We speak truth to power.

Categories

  • banking
  • conflict, war and peace
  • corruption
  • crime, law and justice
  • economic sector
  • economy
  • economy, business and finance
  • financial and business service
  • government
  • In the Press
  • Insight
  • investments
  • law
  • macro economics
  • News
  • Opinion
  • Politics
  • The Cases
  • Uncategorized

Recent Posts

  • Is KZN the factory of hitmen?
  • ANC KwaZulu-Natal displays political intolerance
  • Nepad concerned about South Africa’s energy crisis
  • ANC’s 30-year rule marked by empty promises and rhetoric

Copyright © 2023 - All rights reserved

No Result
View All Result
  • Home
  • The Cases
  • Insight
  • In the Press
  • About
  • Our Team
  • Contact Us

Copyright © 2023 - All rights reserved