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Rand Extends Gains Despite Mining Output Miss

ZAR

Spot USD/ZAR remains under pressure even as the BBDXY index has now stabilised just above session lows, while a previous rally in precious metals has paused. The rate currently sits at ZAR18.1651, down 2,540 pips on the session, testing its 50-DMA while printing worst levels in a week.

  • A worse than expected outturn for South Africa's mining output has gone unnoticed. Headline figure contracted 5.0% Y/Y in February, with consensus looking for a 3.0% decline, after a revised 2.7% fall in January. Gold production rose 1.7% Y/Y after a revised 5.2% increase in the previous month.

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