South African rand feels heat from EM currency strain

Argentina, Turkey, Indonesia, Brazil…and now South Africa?

The list of emerging-market currencies hit by a rising dollar and the market’s nervous leanings has been growing with each passing week, and the fall in the South African rand suggests investors have got another victim in their sights.

The rand suffered another blow on Friday, dropping at one stage by more than 2 per cent to ZAR13.3, its lowest level since December, before staging a partial recovery.

A year that was meant to be bathed in optimism, following the end of Jacob Zuma’s presidency and the accession of Cyril Ramaphosa, is instead looking altogether more challenging.

After the first two months of the year, the rand was 7 per cent higher, but it has since fallen 11 per cent from that peak.

“One by one the…

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