20°C / 22°C
  • Sat
  • 28°C
  • 16°C
  • Sun
  • 25°C
  • 17°C
  • Mon
  • 22°C
  • 12°C
  • Tue
  • 23°C
  • 9°C
  • Wed
  • 23°C
  • 10°C
  • Thu
  • 24°C
  • 10°C
  • Sat
  • 25°C
  • 16°C
  • Sun
  • 22°C
  • 17°C
  • Mon
  • 26°C
  • 16°C
  • Tue
  • 28°C
  • 14°C
  • Wed
  • 33°C
  • 15°C
  • Thu
  • 26°C
  • 16°C
  • Sat
  • 31°C
  • 19°C
  • Sun
  • 26°C
  • 19°C
  • Mon
  • 25°C
  • 13°C
  • Tue
  • 24°C
  • 11°C
  • Wed
  • 25°C
  • 12°C
  • Thu
  • 26°C
  • 12°C
  • Sat
  • 29°C
  • 16°C
  • Sun
  • 25°C
  • 17°C
  • Mon
  • 22°C
  • 12°C
  • Tue
  • 24°C
  • 10°C
  • Wed
  • 25°C
  • 11°C
  • Thu
  • 26°C
  • 13°C
  • Sat
  • 27°C
  • 22°C
  • Sun
  • 30°C
  • 22°C
  • Mon
  • 23°C
  • 17°C
  • Tue
  • 23°C
  • 17°C
  • Wed
  • 25°C
  • 18°C
  • Thu
  • 28°C
  • 19°C
  • Sat
  • 23°C
  • 17°C
  • Sun
  • 23°C
  • 17°C
  • Mon
  • 20°C
  • 15°C
  • Tue
  • 21°C
  • 13°C
  • Wed
  • 24°C
  • 14°C
  • Thu
  • 26°C
  • 16°C
  • Sat
  • 30°C
  • 16°C
  • Sun
  • 26°C
  • 16°C
  • Mon
  • 30°C
  • 15°C
  • Tue
  • 35°C
  • 15°C
  • Wed
  • 39°C
  • 19°C
  • Thu
  • 34°C
  • 19°C
  • Sat
  • 22°C
  • 16°C
  • Sun
  • 21°C
  • 16°C
  • Mon
  • 25°C
  • 15°C
  • Tue
  • 29°C
  • 14°C
  • Wed
  • 29°C
  • 18°C
  • Thu
  • 25°C
  • 18°C
  • Sat
  • 32°C
  • 20°C
  • Sun
  • 29°C
  • 20°C
  • Mon
  • 25°C
  • 16°C
  • Tue
  • 24°C
  • 14°C
  • Wed
  • 24°C
  • 15°C
  • Thu
  • 25°C
  • 14°C
  • Sat
  • 29°C
  • 15°C
  • Sun
  • 25°C
  • 16°C
  • Mon
  • 26°C
  • 14°C
  • Tue
  • 25°C
  • 11°C
  • Wed
  • 27°C
  • 12°C
  • Thu
  • 27°C
  • 12°C
  • Sat
  • 26°C
  • 20°C
  • Sun
  • 29°C
  • 20°C
  • Mon
  • 22°C
  • 14°C
  • Tue
  • 23°C
  • 13°C
  • Wed
  • 23°C
  • 13°C
  • Thu
  • 25°C
  • 12°C
  • Sat
  • 25°C
  • 15°C
  • Sun
  • 24°C
  • 15°C
  • Mon
  • 20°C
  • 13°C
  • Tue
  • 22°C
  • 12°C
  • Wed
  • 28°C
  • 14°C
  • Thu
  • 25°C
  • 18°C

Rand slips, stocks boosted by electricity supply relief

The rand rallied close to 3.5% in the previous week and on Monday was still near its strongest since 1 August, but with offshore risks building and volumes relatively light heading into Christmas holidays, the momentum faded on Tuesday.

Picture: Christa Eybers/EWN

JOHANNESBURG - The rand weakened on Tuesday as the previous week’s gains gave way to some profit-taking and fears about Britain’s exit from the European Union resurfaced.

At 1500, GMT the rand was 0.43% weaker at R14.4280 per dollar compared with an opening level of R14.3860.

The rand rallied close to 3.5% in the previous week and on Monday was still near its strongest since 1 August, but with offshore risks building and volumes relatively light heading into Christmas holidays, the momentum faded on Tuesday.

Reports on Tuesday that new British Prime Minister Boris Johnson was ready to push for a hard exit from the monetary union scuppered some of the early-session risk appetite that had kept the rand and its emerging market peers bid.

With only monthly government budget balance data on the local calendar this week, the rand is set be swayed by offshore events, although traders will have one eye on developments in energy policy following last week’s nationwide blackouts.

On Tuesday, Energy Minister Gwede Mantashe vowed to keep burning coal to generate electricity, even as the continent’s biggest greenhouse gas emitter adopts more renewable-energy sources to meet its commitments on climate change.

Bonds gained, with the yield on the benchmark 2026 government issue down 3 basis points to 8.29%.

In equities, stocks climbed alongside other emerging-market shares, on hopes an initial US-China trade deal will mark a turning point in one of the major risks to global economic growth.

State-owned power utility Eskom announced that there would be no rolling power cuts on Tuesday and a low probability of any during the week, providing relief to retailers, who were hit hard by the blackouts.

The benchmark JSE Top-40 Index was up 1.23% to 51,122.19 points. The broader All-Share Index rose 1.27% to 57,467.44 points.

Energy and chemicals company Sasol soared 11.92% to R307.01, reaching the top of the blue-chip index, after announcing that the Lake Charles Chemicals Project ethane cracker is increasing production rates following the successful replacement of the acetylene reactor catalyst.

Following Sasol was retailer Mr Price Group, which rose 5.32% to R193.19, and mining company Anglo American Platinum, which rose 4.99% to R1,383.

Comments

EWN welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

- Racism (including offensive comments based on ethnicity and nationality)
- Sexism
- Homophobia
- Religious intolerance
- Cyber bullying
- Hate speech
- Derogatory language
- Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the EWN community a safe and welcoming space for all.

EWN reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

EWN is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

comments powered by Disqus