MNI: PBOC Net Injects CNY14.2 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Higher At 7.1876 Fri; -1.22% Y/Y

MNI: BOJ Tankan: Key Sentiment Rises, Solid Capex Plans

MNI BOJ DEC TANKAN LARGE MFG INDEX +14; SEPT 13; MEDIAN +12

MNI INTERVIEW2: Poland To Push For EU Defence Fund

MNI BRIEF: Trump Likely To Let Powell Serve Full Term-Moore

MNI: UK DEC GFK CONSUMER CONFIDENCE INDEX -17

EZ/UK Bond Supply Calendar: Belgium ORI Facility on Friday

US EIA:NAT GAS STORAGE -190 BCF TO 3,747 BCF DEC 06 WK

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

ZAR: USDZAR Extends Corrective Bounce Off Monday’s Lows

ZAR
EM BulletBulletGlobalEmerging Market NewsRegion

USDZAR has extended the bounce off Monday’s lows, with the sustained recovery in the USD index this week aiding the move higher. The pair looked to test the 17.00 handle yesterday – a level we have not traded below since February 2023 – with profit taking potentially at play. 

  • Meanwhile, rising tensions in the Middle East have continued to dampen global risk sentiment, contributing to a fade in the JP Morgan EM FX index from a multi-week high. Given the relatively thin local data slate for the remainder of the week, focus will turn to the US payrolls report on Friday as the next major risk event.
  • Despite this week’s move, USDZAR remains in a clear downtrend from a technical point of view. 17.4193, the Jul 27 ‘23 low, has been cleared which reinforces bearish conditions. Sights are on the 17.00 handle next. If breached, this would open 16.8724, the Jan 18 ‘23 low. Initial firm resistance not seen until 17.7945, the 50-day EMA.
163 words

To read the full story

Close

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.

USDZAR has extended the bounce off Monday’s lows, with the sustained recovery in the USD index this week aiding the move higher. The pair looked to test the 17.00 handle yesterday – a level we have not traded below since February 2023 – with profit taking potentially at play. 

  • Meanwhile, rising tensions in the Middle East have continued to dampen global risk sentiment, contributing to a fade in the JP Morgan EM FX index from a multi-week high. Given the relatively thin local data slate for the remainder of the week, focus will turn to the US payrolls report on Friday as the next major risk event.
  • Despite this week’s move, USDZAR remains in a clear downtrend from a technical point of view. 17.4193, the Jul 27 ‘23 low, has been cleared which reinforces bearish conditions. Sights are on the 17.00 handle next. If breached, this would open 16.8724, the Jan 18 ‘23 low. Initial firm resistance not seen until 17.7945, the 50-day EMA.