Rand strengthens against pound amid Brexit turmoil
The rand has continued to strengthen against the pound, breaking through the R19 mark.
JOHANNESBURG - The rand has continued to strengthen against the pound, breaking through the R19 mark as global markets respond to political and economic turbulence in Britain.
At around 12pm, the rand reached R18,95 to the pound.
Economist Dawie Roodt says this is the financial markets' way of punishing Britain for exiting the European Union.
Roodt says while the rand is still hugely undervalued, compared to stronger currencies, South Africa is a safer place to invest than Britain at the moment.
"What is happening at the moment is that the financial markets are punishing the pound or the British for trying to leave the European Union. Investors are selling their pound assets and they're buying other things with that."