South Africa's rand firmer as dovish Fed boosts risk appetite

29 Nov, 2018

* At 0630 GMT, the rand traded at 13.7500 per the dollar, 0.25 percent firmer than its New York close of 13.7850 on Wednesday.

* Federal Reserve Chair Jerome Powell said on Wednesday that U.S. policy rates were "just below" neutral, comments that many investors read as signalling the Fed's three-year tightening cycle is drawing to a close.

* "The mighty dollar is not looking all that mighty this morning after the Federal Reserve dealt it a blow last night," Bianca Botes, treasury manager at Peregrine Treasury Solutions, said in a note.

* "A slowdown in the pace of rate hikes by the Fed is great news for emerging markets with foreign debt exposure," said Botes.

* South African-focused investors are waiting for the release of October producer price inflation numbers due at 0930 GMT.

Copyright Reuters, 2018

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