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GS Bullish ZAR on High-Beta to Global Recovery

SOUTH AFRICA
  • USD/ZAR opens lower in line with a firmer CNY fixing and broadly accommodative global risk sentiment.
  • Quiet week for data puts USD-side factors and local political risks in the driver's seat this week.
  • Spot drifting back towards 15.00, and will need to take out 14.893 to unlock more gains.
  • Goldman remains bullish ZAR based predominantly on its high 'betas' to a global economic & market recovery
  • Also strong current account surpluses.
  • Most other sell side see USD/ZAR closing 2020 around 14.90-14.70.
  • Topside resistance at 15.1560-15.20, followed by 15.30.
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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