News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
GBP/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/qtAmyhFU9A
  • Get your snapshot update of the of relative currency strength and exchange status from around the globe here: https://t.co/H19vRDCpUJ https://t.co/S74APOiQ3y
  • Two of the main Euro-pairs, $EURUSD and $EURGBP, are being driven by very different drivers. Get your market update from @nickcawley1 here: https://t.co/Vd32Y6HKEr https://t.co/Lgb5z5V1Xa
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4CnobJCss https://t.co/9uPXNvDBS5
  • We ended this past week with another cliffhanger. The $SPX teeters on the edge of a breakdown from the post-pandemic recovery. While we have NFPs and other key data ahead, the markets are likely to remain fixated on yields. My outlook for next week: https://www.dailyfx.com/forex/video/daily_news_report/2021/02/27/SP-500-Dollar-Reversal-Hinge-Not-On-NFPs-but-Markets-Risk-Imagination.html?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/mlNDDyTgex
  • Make smart trading decisions with your free guide to trade the news. Download your free guide here.https://t.co/pb5E2KgRzW #DailyFXGuides https://t.co/70ZOJ0ZMwF
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/SyroornFf5
  • MACD who? The Moving Average Convergence Divergence (MACD) is a technical indicator which simply measures the relationship of exponential moving averages (EMA). Find out how you can incorporate MACD into your trading strategy here: https://t.co/ZNs4QhQGQ6 https://t.co/KrMcyZZqO7
  • The Reserve Bank of Australia (RBA) rate decision may spark a bullish reaction in $AUDUSD as the central bank is expected to retain the current course for monetary policy. Get your market update from @DavidJSong here: https://t.co/WbcR9ER0qT https://t.co/TynsqCtPQ6
  • Gold has broken below a critical support confluence we’ve been tracking for months now and the risk remains for further losses while below this threshold in the weeks ahead. Get your $XAUUSD market update from @MBForex here:https://t.co/xgN2obaIWR https://t.co/H71ufPNkPg
South African Rand Gains On Dollar Despite GDP Missing Estimates

South African Rand Gains On Dollar Despite GDP Missing Estimates

Oliver Morrison, Analyst

Talking Points

- South African GDP misses estimates, underlining that the economy remains extremely weak.

- But the Rand has risen versus the Dollar, which eased against most major currencies Monday.

- A host of emerging-market currencies also gained versus the Dollar yesterday.

South Africa’s Rand has advanced on the US Dollar, despite a weaker-than-expected rise in South African GDP, as some emerging-market currencies make up lost ground in the wake of a weakening Greenback.

South Africa's economy grew by 0.2% quarter-on-quarter in Q3 2016 after rising by a revised 3.5% in the previous quarter, according to official data from Statistics South Africa Tuesday, suggesting little underlying economic confidence in the country. Analysts had forecast the economy would grow by 0.5%. GDP rose 0.7% year-on-year, which was in line with expectations.

Flagging growth will hinder Finance Minister Pravin Gordhan’s pledge to hit the GDP target of 3.4%expansion this year and narrow the budget deficit to 2.5% of GDP by 2020, pointing to interest rates remaining unchanged rather than rising.

But despite the poor showing, USDZAR dropped to 13.58560 in Tuesday trading, the lowest since November 10, illustrating that movements in USDZAR are more likely to be determined by events in the US than in South Africa. The Dollar, while generally still strong, fell against most major currencies yesterday as fears of the impact of the Italian referendum result receded, helping the Rand and other emerging-market currencies, to make some headway. Turkey’s Lira, China’s Yuan, Mexico’s Peso and Brazil’s Real all strengthened versus the Dollar yesterday.

Another Rand-positive factor is last week’s decision by S&P Global Ratings to affirm South Africa’s BBB- credit rating. That’s the lowest investment-grade level achievable, but some analysts had feared that, against a background of slowing inflation, a weak economy and a turbulent domestic political situation, the country might lose its investment-grade rating altogether.

Chart 1: USD/ZAR 1-hour Timeframe (December 1 to December 6, 2016)

South African Rand Gains On Dollar Despite GDP Missing Estimates

--- Written by Oliver Morrison, Analyst

To contact Oliver, email him at oliver.morrison@ig.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES