The rand was slightly firmer against the dollar in volatile trade in the late afternoon on Wednesday as the greenback lost ground on the second surprise devaluation of the yuan.
The Chinese central bank devalued the yuan on Tuesday by 1.9%‚ which was the biggest devaluation since July 2005. The currency was devalued by a further 1.6% on Wednesday.
At 3.31pm the rand was at R12.7652 to the dollar from a previous close of R12.7869. It traded in a wide range of between R12.70/$ and R12.87/$ for most of the day.
Against the euro the rand was at R14.2495 from a previous close of R14.1199. Against the pound‚ the rand was at R19.9252 from R19.9153 after earlier weakening below R20/£ again.
The euro was at $1.1163 from $1.1043.
A trader said the local currency was vulnerable. “Technically there is scope for further weakness and the rand could breach R13/$ soon.”
Rand remains vulnerable on Chinese jitters
The rand was slightly firmer against the dollar in volatile trade in the late afternoon on Wednesday as the greenback lost ground on the second surprise devaluation of the yuan.
The Chinese central bank devalued the yuan on Tuesday by 1.9%‚ which was the biggest devaluation since July 2005. The currency was devalued by a further 1.6% on Wednesday.
At 3.31pm the rand was at R12.7652 to the dollar from a previous close of R12.7869. It traded in a wide range of between R12.70/$ and R12.87/$ for most of the day.
Against the euro the rand was at R14.2495 from a previous close of R14.1199. Against the pound‚ the rand was at R19.9252 from R19.9153 after earlier weakening below R20/£ again.
The euro was at $1.1163 from $1.1043.
A trader said the local currency was vulnerable. “Technically there is scope for further weakness and the rand could breach R13/$ soon.”
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