RDG BROKERS » exchange 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 U.S trade Deficit to China Up http://rdgbrokers.co.za/2009/12/u-s-trade-deficit-to-china-up/ http://rdgbrokers.co.za/2009/12/u-s-trade-deficit-to-china-up/#comments Fri, 04 Dec 2009 07:47:26 +0000 RDG Brokers http://rdgbrokers.co.za/?p=317
South Africa’s rand was unable to hold on to gains below 7.30/$ which caused investors and speculators to buy back short dollar positions. This morning we are back above 7.40/$, we should keep in mind that S.A. Reserve bank is not comfortable with the rand’s strength and will probably continue to build reserves into any rand rallies. Trading conditions are thin which will increase volatility.

The exchange rate of the Yuan is not responsible for the United States’ widening trade deficit with China, China’s ambassador to the country said on Thursday. “Personally, I think the root cause for the fiscal deficit and the trade deficit here (in the United States) is not really the exchange rate of the (Yuan),” Zhou Wenzhong told a National Committee on United States-China Relations dinner. China has had a huge trade surplus with the United States, and is the largest foreign holder of U.S. government bonds. The U.S. trade deficit with China widened 9.2 percent in September to $22.1 billion, the highest since November 2008, according to U.S. data released last month. Zhou said that the Yuan had appreciated by some 20 percent since reform of the exchange rate began in 2005. China allowed the Yuan to rise from 2005 to 2008 before effectively repegging it to help its exporters cope with a slump in global demand. It has moved little since.
Current levels
Rand / Usd 7.4000-7.4500
Rand / Euro 11.1200-11.1700
Rand / Sterling 12.2300-12.2800
Jpy / Rand 11.85-11.90
Jpy / Usd 88.10
Usd / Euro 1.5055
Gbp / Usd 1.6533
Gold $1 204.00
Expected ranges
Rand / Usd 7.3000-7.5000
Rand / Euro 11.0500-11.2500
Rand / Sterling 12.1500-12.3500
Jpy / Rand 11.80-12.00
]]> http://rdgbrokers.co.za/2009/12/u-s-trade-deficit-to-china-up/feed/ 0 Currency Improves http://rdgbrokers.co.za/2009/07/currency-improves/ http://rdgbrokers.co.za/2009/07/currency-improves/#comments Tue, 21 Jul 2009 13:41:35 +0000 RDG Brokers http://rdgbrokers.co.za/?p=197 South Africa’s rand continued its recent rally after the country got an upgrade in their foreign exchange ratings. We have seen demand for dollars at current levels however the supply from off shore fund managers continue to support the local unit.

The dollar fell further on Monday, hitting its lowest level against the euro in six weeks and a three-week trough against sterling as higher share prices boosted demand for currencies seen as higher-risk. The euro rose as high as $1.4219 according to Reuter’s data, its strongest since early June. Sterling also extended gains against the dollar, rising as high as $1.6518, its strongest since the start of July.

Current levels
Rand / Usd
7.8800-7.9300
Rand / Euro
11.1800 – 11.2300
Rand / Sterling
12.9700-13.0200
Jpy / Rand
11.88- 11.93
Jpy / Usd
93.95
Usd / Euro
1.4200
Gbp / Usd
1.6469
Gold
$948.00
Brent
$65.80
Expected ranges

Rand / Usd
7.8500-8.0500
Rand / Euro
11.1000-11.3000
Rand / Sterling
12.9000-13.1000
Jpy / Rand
11.75-11.95

]]> http://rdgbrokers.co.za/2009/07/currency-improves/feed/ 0 New Reserve Bank Governor http://rdgbrokers.co.za/2009/07/new-reserve-bank-governor/ http://rdgbrokers.co.za/2009/07/new-reserve-bank-governor/#comments Mon, 20 Jul 2009 16:36:34 +0000 RDG Brokers http://rdgbrokers.co.za/?p=195 South Africa’s rand continued to strengthen testing the 8.00/$ mark this morning. The local unit rallied on Friday evening after more positive news from the U.S. and a strong rally in the Dow Jones. The announcement that Gill Markus will be replacing Tito Mboweni as Reserve Bank governor in November was perceived positive by market participants as she is well qualified for the position.

The United States wants China to move more quickly to a freely floating exchange rate, U.S. Commerce Secretary Gary Locke said on Friday. “Clearly, progress has been made. We simply want the currency to float freely,” Locke told the U.S. Chamber of Commerce in Shanghai. Locke, who was in China this week for talks on clean energy cooperation and trade with senior Chinese officials, declined to say what an appropriate U.S.-China exchange rate would be. “Clearly every country is suffering from economic woes. There’s been a lot of government intervention in each of their individual economies and monetary policies. But ultimately we need to see a freer floating exchange rate,” Locke said. His comments follow a decision by President Barack Obama’s administration not to label China as a currency manipulator, despite concerns Obama raised about Beijing’s exchange rate policies during last year’s presidential election campaign. Many U.S. lawmakers and manufacturers complain that China artificially depresses the price of its currency against the dollar to give Chinese companies an unfair trade advantage.

Current levels

Rand / Usd
8.0000-8.0500

Rand / Euro
11.4300 – 11.4800

Rand / Sterling
13.1000 – 13.1500

Jpy / Rand
11.81- 11.86

Jpy / Usd
94.70

Usd / Euro
1.4155

Gbp / Usd
1.6405

Gold
$944.00

Brent
$65.98

Expected ranges

Rand / Usd
7.9300-8.0800
Rand / Euro
11.3500-11.5500
Rand / Sterling
13.3500-13.5500
Jpy / Rand
11.75-11.95

Courtesy of Accredinet Financial Solutions
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