The South African Reserve Bank (SARB) decided to act and cut rates by 100bps, per Rabobank. USD/ZAR is trading at 18.6185. Key quotes “The SARB slashed its policy rate by another 100bps to a record low of 4.25% at an emergency meeting held on Tuesday.” “Before the extension was announced the SARB estimated the economy to contract by 2 to 4% this year. The central bank has now revised its forecast to -6.1% y/y.” “Any indication from the Ramaphosa administration that the IMF could be officially approached for financial aid would allow us to mark 19.3508 as the important top for USD/ZAR and seriously consider a sustainable reversal of the bullish trend.” “A weaker rand makes local assets attractive and perhaps some opportunistic foreign investors have already started buying them. However, for the bias to shift to the downside in USD/ZAR, a sustainable wave of capital inflows is required.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Gold corrects further from multi-year tops, downside seems limited FX Street 2 years The South African Reserve Bank (SARB) decided to act and cut rates by 100bps, per Rabobank. USD/ZAR is trading at 18.6185. Key quotes “The SARB slashed its policy rate by another 100bps to a record low of 4.25% at an emergency meeting held on Tuesday.” “Before the extension was announced the SARB estimated the economy to contract by 2 to 4% this year. The central bank has now revised its forecast to -6.1% y/y.” “Any indication from the Ramaphosa administration that the IMF could be officially approached for financial aid would allow us to mark 19.3508 as the important top… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
