RDG BROKERS » commodity http://rdgbrokers.co.za Life, Business, Personal, Medical and Short Term Insurance Wed, 26 Jan 2011 11:32:58 +0000 en hourly 1 http://wordpress.org/?v=3.1 Rand Holding Ground http://rdgbrokers.co.za/2009/11/rand-holding-ground/ http://rdgbrokers.co.za/2009/11/rand-holding-ground/#comments Thu, 26 Nov 2009 12:15:01 +0000 RDG Brokers http://rdgbrokers.co.za/?p=311 South Africa’s rand continued to rally in late afternoon trade yesterday, after the euro broke back above 1.50 against the dollar. Gold is once again trading at an all time high this morning which is a further positive for the local unit. Inflation data released yesterday showed that CPI fell back into the MPC targets at 5.9 percent, however economists expect inflation to rise again. We have seen solid importer demand at current levels and we are back at levels where S.A. Reserve Bank is not comfortable with the rand’s strength, but with the higher commodity prices there could be scope for further strength.

The dollar was under pressure on all fronts on Thursday, after breaking down to 15-month lows the previous day, and looked in peril of marking a 14-year low against the yen as Japan signaled it was watching but unlikely to step in. Dealers said short-term players continued to sell the dollar against the Japanese currency, after it fell to a 10-month low of 87.21 yen JPY= on Wednesday, although Japanese companies were buying dollars at the lower levels, helping keep it off the low. The catalyst for Wednesday’s breakdown, which took the greenback to a 15-month low against the euro and a basket of currencies, was an indication from the Federal Reserve that the dollar’s fall has been orderly and interest rates will stay low for some time. Market players said it was likely to remain under pressure in potentially volatile trading on Thursday, when U.S. markets are closed for Thanksgiving. But talk of an options barrier at 87.00 yen, as well as expected buy orders ahead of last January’s 13-year low of 87.10 yen, could lend it some support. Current levels Rand / Usd 7.3300-7.3800 Rand / Euro 11.1000-11.1500 Rand / Sterling 12.2500-12.3000 Jpy / Rand 11.75-11.80 Jpy / Usd 86.70 Usd / Euro 1.5105 Gbp / Usd 1.6688 Gold $1 193.00 Expected ranges Rand / Usd 7.3000-7.5000 Rand / Euro 11.0500-11.2500 Rand / Sterling 12.1500-12.3500 Jpy / Rand 11.70-11.90

article courtesy of Accredinet Financial Solutions
]]> http://rdgbrokers.co.za/2009/11/rand-holding-ground/feed/ 0 Investors cash In http://rdgbrokers.co.za/2009/10/investors-cash-in/ http://rdgbrokers.co.za/2009/10/investors-cash-in/#comments Wed, 21 Oct 2009 16:24:55 +0000 RDG Brokers http://rdgbrokers.co.za/?p=292 We saw profit taking across the board as traders bought back short dollar positions on local and international currency markets. The rand gave back some of its gains versus the European currencies as well. Traders will close long rand positions ahead of the MPC rate announcement even though the general consensus is for rates to remain unchanged. Looking forward we have the mini budget coming up which could have an impact on the currency markets.

The dollar stabilised on Wednesday, aided by profit-booking in rallying commodity-linked and higher-yielding currencies, after being pushed to a 14-month low against a basket of currencies the previous day. Traders said investors had been cashing in gains in the Canadian and New Zealand dollars, which hit their strongest levels in about 15 months this month, and in sterling, pushing them down about 0.2 percent against the greenback. The move helped the dollar climb further off a 14-month low against the euro after the single European currency failed to breach a psychological barrier at $1.50 the previous day. The dollar also got some support from profit-taking in Asian currencies, after markets in Brazil fell on a new government tax on foreign investments aimed at stopping the real from gaining. The Bank of Canada killed talk of an early rate hike on Tuesday, warning that favourable economic developments were being undermined by the Canadian dollar’s strength and sending the currency down sharply. Current levels Rand / Usd 7.3800-7.4300 Rand / Euro 11.0000-11.0500 Rand / Sterling 12.1000-12.1500 Jpy / Rand 12.20 -12.25 Jpy / Usd 90.68 Usd / Euro 1.4940 Gbp / Usd 1.6415 Gold $1 056.00 Brent $76.95 Expected ranges Rand / Usd 7.3000-7.5000 Rand / Euro 10.9500-11.1500 Rand / Sterling 12.0000-12.2000 Jpy / Rand 12.15-12.35 ]]> http://rdgbrokers.co.za/2009/10/investors-cash-in/feed/ 0 Trading a Little Slow http://rdgbrokers.co.za/2009/08/trading-a-little-slow/ http://rdgbrokers.co.za/2009/08/trading-a-little-slow/#comments Tue, 18 Aug 2009 12:04:59 +0000 RDG Brokers http://rdgbrokers.co.za/?p=228 South Africa’s rand recovered slightly overnight and is currently trading at around 8.10/$. The dollar once again failed to break above 8.20/$ after speculators probably squared of long currency positions ahead of the GDP data today. Trading will remain slow as banks are reporting low currency flows, due to summer holidays in Europe and we should remain in a 8.00 to 8.20/$ trading, unless we get a surprise on the GDP number which is expected at -3.2 percent for the 2nd quarter. The yen fell on Tuesday, retreating from its highest levels this month against the dollar and euro and losing ground against commodity-linked currencies, although twitchy Asian share markets made trade choppy. Eyes were on stocks after Monday’s volatile session in which shares in Shanghai lost 5.8 percent and currencies associated with risk-trades, such as the Australian and New Zealand dollars, shed more than 1 percent. The euro and the Aussie and kiwi dollars all rose about half a percent against the Japanese currency and clawed back some lost ground against the dollar as investors covered short positions built in the sell-off the previous day, dealers said.

Current levels

Rand / Usd 8.0800-8.1300

Rand / Euro 11.4000-11.4500

Rand / Sterling 13.2500-13.3000

Jpy / Rand 11.72-11.77

Jpy / Usd 95.15

Usd / Euro 1.4133

Gbp / Usd 1.6395

Gold $940.00

Brent $70.75

Expected ranges

Rand / Usd 8.0000-8.2000

Rand / Euro 11.3000-11.5000

Rand / Sterling 13.2000-13.4000

Jpy / Rand 11.65-11.85

]]> http://rdgbrokers.co.za/2009/08/trading-a-little-slow/feed/ 0 Strikes effect Investors http://rdgbrokers.co.za/2009/07/strikes-effect-investors/ http://rdgbrokers.co.za/2009/07/strikes-effect-investors/#comments Wed, 29 Jul 2009 08:04:57 +0000 RDG Brokers http://rdgbrokers.co.za/?p=206 South Africa’s rand dropped yesterday and came under more pressure in the overnight market after investors lost their appetite for riskier assets. The local unit is currently trading above the 7.90/$ mark, we should see exporter interest close to 8.00/$ however if the negative sentiment continue a test of 8.00/$ will be seen. While scenes of destruction are shown worldwide due to the strike we should not expect the local unit to rally any time soon.

The dollar drifted sideways against a basket of currencies on Wednesday, hovering not far from the lowest level of the year, as investors awaited fresh leads from coming economic events in the United States. The euro held firm against the dollar but stayed shy of Tuesday’s eight-week high after news of weaker-than-expected consumer confidence in the United Stated prompted investors to cut long positions in the European currency. Major currencies were largely confined in ranges in Asian trade as investors remained cautious about a recent rapid rise in assets such as stocks and commodity prices.

Current levels

Rand / Usd
7.9000-7.9500
Rand / Euro
11.2000-11.2500
Rand / Sterling
12.9800-13.0300
Jpy / Rand
11.83-11.88
Jpy / Usd
94.15
Usd / Euro
1.4126
Gbp / Usd
1.6360
Gold
$935.00
Brent
$69.36
Expected ranges

Rand / Usd
7.8500-8.0500
Rand / Euro
11.1500-11.3500
Rand / Sterling
12.9000-13.1000
Jpy / Rand
11.75-11.95

Courtesy of Accredinet Financial Solutions
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