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USD/ZAR Unfazed by SARB Non-Event

ZAR
USD/ZAR was unfazed by the unanimously expected hold decision, while minor upward revisions to inflation forecasts did little to move the needle given the major domestic risk event is the upcoming elections on May 29. As such, this decision had widely been viewed as a non-event with the SARB likely to view any potential uncertainty ahead of the polls as undesirable.
  • USD/ZAR remains around 0.3% lower on the day, with the rand the top performer in the EMEA region. The pair closely matched support at the 50-day EMA earlier in the session, intersecting today at 18.8789. A clear break of this average could expose the mid-March lows of 18.5066. Topside focus falls on 19.3899, the Feb 23 high.

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