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The rand was firmer on Monday afternoon as the euro regained some ground against the dollar, before the decision on local reserve bank interest rates later in the week. The Bank should take into account the recent strength of the rand, which has risen 4% since the beginning of July, said Annabel Bishop, chief economist of Investec. "The rand remains vulnerable to international events and will therefore remain volatile."
The rand benefited from improved inflation prospects, the local consumer price index (CPI) now setting around 5% in 2018 and around 5 , 5% in 2019.
The tone of the Reserve Bank became bellicose when the rand began to weaken after its rise as a result of "Ramaphoria". It lost nearly 2% of the dollar in May and more than 8% in June
The dollar was on the defensive after the strong sales in the United States for June, up 0.5% month on month, in line with expectations. The previous month was revised upwards from 0.8% to 1.3%.
However, the market reacted cautiously to concerns over the effect of a growing global trade war on the US economy, according to badysts.
rand was 13.2172 rand for one dollar against 13.2645 rand. He was at R15.4911 at the euro of R15.5082, and R17.5155 at the pound of R17.5470. The euro was at $ 1,1705 versus $ 1,1692 [19659002] Local bonds were following the gains of the rand, the government's benchmark obligation R186 setting at 8.695% against 8.73 %.
The 10-year US Treasury was 2.8441% against 2.8285%.
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