USDZAR has tumbled this week to breach the 15.00 level as US dollar weakness persists. Better-than-expected GDP figures from the South African economy has boosted the Rand.
Gross Domestic Product (GDP) for the third quarter came in at 66.1% while the growth rate for the year came in at -6%. The Rand has benefited from a plunge in the U.S. dollar since the election, despite recent credit rating downgrades by Fitch and Moody’s.
Today will see the important inflation rate released for the South African economy with a dip lower to 3.2% expected from last month’s 3.3%. The country will also see retail sales released with analysts forecasting a figure of 2.7%.
The USDZAR tumbled through the 15.00 level this week and the pair is now testing that price again. A move above 15.00 could see a medium-term low, but another failure at the level would see the USDZAR moving through the 14.00 levels. The Investing Cube team is currently available to help all levels of traders with the Forex Trading Course or one-to-one coaching.
