Rand Finds Poise Despite Intensified Load-Shedding

USD/ZAR unwinds its post-NFP gains, with the greenback under pressure again. The rate last changes hands at ZAR18.3372, down ~700 pips on the day. From a technical standpoint, losses past the ZAR18.00 figure would expose key support from Mar 31 low of ZAR17.6993. Conversely, bulls look for a rebound towards Mar 21 high of ZAR18.6132 and Mar 8 high of ZAR18.7192.

• The BBG Commodity Index has crept higher and last sits ~0.7% higher on the session, but the precious metals subindex is only marginally above neutral levels. Spot gold trades ~$5.2/oz. higher on the day.
• Local-currency bonds have sold off this morning, with yields last seen 4.5-6.1bp higher across the curve. South Africa's 10-year breakeven inflation rate has climbed to 6.58%.
• Eskom said it will be implementing Stage 6 load-shedding until further notice and expects power rationing to remain at that level through the week.