Rand Lower vs. Dollar After South African Central Bank Policy Meeting

The South African rand dropped against the US dollar today following the nation’s decision to keep its repurchase rate unchanged.

The South African Reserve Bank maintained its key interest rate at 7% at today’s policy meeting. The bank said in the statement that the unexpected outcome of the US presidential elections and Britain’s decision to leave the European Union create uncertainty for markets, especially emerging ones. As for the rand, according to the central bank the main factors influencing the currency should be the stance of US monetary policy and “the sovereign ratings announcements due later this month and early in December.”

USD/ZAR rose 0.18% to 14.1753 as of 14:07 GMT today.

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