Last week ended off with a rather chaotic State of the Nation Address by President Jacob Zuma. The evening was quite a fiasco, with major opposition parties, the EFF and DA, being removed from the chamber and walking out of the event.
The actual address did not produce many answers, disappointing analysts. Despite all this, the ZAR has remained surprisingly resilient and is stronger than before the event.
This week, we have seen a continuation of this ZAR strength against the major currencies. Overall, we have seen some good strength from the commodity currencies like the AUD, CAD and ZAR. This is partially due to an uptick in Chinese production and general confidence that the world production should be picking up.
The major factors influencing traders in the market at this point are Brexit, the French election, the various impromptu policy decisions of American President Donald Trump and the risks of possible trade wars sparked by the harsher American stance on international trade agreements.
What to look out for this week:
There are multiple data releases on the cards this week. Let’s take a look at what these mean for the Rand.
|Day||What’s happening?||Why it’s important|
– Sebastian Steyn