Rand biggest gainer over month
The South African rand outperformed all other currencies in foreign exchange trading this month, extending gains to an 11-week run on US economic data.
On the markets yesterday, the rand rose 1.8 per cent, trading at R7.12 against the dollar. Elsewhere, sterling traded at $1.8865 and at 67.69p on the euro.
The SA currency gained following a US report that consumer prices fell more than expected, cutting the chance of a further rate rise. South Africa's lending rate is currently at a three-year high.
"We're still expecting a rate hike in December and some people are talking about a cut in the US next year," Hugo Smith of Real Africa Asset Management told Bloomberg.
"That will work for the rand and underpin its strength."
Overseas investors purchased a net R1.47 billion ($205 million) in SA bonds yesterday. A net R9.4 has been purchased in the month through November 9th.