SOUTH AFRICA’S RAND RECOVERS AFTER EMERGING MARKET ROUT

PRETORIA– South Africa’s rand firmed early on Friday as traders consolidated positions after the unit fell more than two percent in the previous session alongside other emerging market currencies.

At 0640 GMT the rand was 0.22 percent stronger at 14.68 per dollar compared to a close of 14.715/$ overnight in New York.

Currency analysts at RMB said the rand could breach 14.90/$ level on Friday if trading remains volatile.

The rand has lost more than three percent this week and is on track for its worst monthly performance in two years, pressured by contagion from weak emerging market peers and domestic growth concerns.

Turkey’s lira tumbled on Thursday on reports that the central bank deputy governor and rate-setter Erkan Kilimci was leaving the bank.

In fixed income, the yield on the benchmark government bond due in 2026 was down 2 basis points at 9.02 percent.

Source: NAM NEWS NETWORK