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Rand Hits Intraday Lows On IOL Report Re: Unity Gov't Proposal
Spot USD/ZAR rallied to fresh intraday highs of 18.9150 before trimming gains, with participants scanning an IOL source report suggesting that the ANC's NWC was about to announce the party's intention to form a national unity government in collaboration with major parties such as the DA, EFF, IFP and PA.
- Note that any instructions of the NWC need to be approved by the wider National Executive Committee (NEC), which is scheduled to meet on Thursday.
- USD/ZAR last deals at 18.8544, around 1,400 pips higher on the day but away from best levels. SAGBs have extended losses.
- Political risk headlines have taken precedence over the release of Q2 BER Business Confidence, which rose to 35 from 30. The BER noted that "the survey results predate the outcome of the elections."
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.