14-Jan-2012 - Rand firms on improved global risk appetite

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Tracks a euro that is buoyed by events such as the ECB meeting yesterday. Johannesburg, Jan 13 (I-Net NBA jerseys Bridge) - The rand firmed against the dollar in early morning trade on Friday as global risk appetite improved. The local currency was tracking a euro that had been buoyed by events such as the ECB meeting yesterday as well as the Spanish bond auctions. "The rand is quite a difficult call because the euro is having a really good relief rally - and perhaps that's all it is," a local currency trader said. "The rand is pretty much range bound and if we don't get through 8.00 to the dollar today, then we'll start seeing around 8.10. "We're near the bottom of the range now but it'll take something special to get us through 8.00," he added. At 08:32 local time, the rand was bid at R8.0296 to the dollar from its previous close of R8.0516. It was bid at R10.3320 to the euro from R10.3192 before, and at R12.3454 against sterling from R12.3450 previously. The euro was bid at US1.2862 from its previous close of US1.2819. RMB said in a morning note that the rand's gains had been coming slowly. "US/ZAR made dips to 8.02 yesterday, EUR/ZAR to 10.23. We expect more, potentially much more, but we may see some pullback this morning before the trend resumes into the weekend and through next week." Underlying RMB's bullish rand call was the much better global risk environment. "We can even go so far as to question whether the eurozone sovereign crisis is over. The ECB may deserve some credit here. Its operations have eased stresses in the money market and have got capital flowing into government debt: yesterday's Spanish bond auction went very well and we should expect the same from Italy today." RMB added that from yesterday's ECB press conference, it was clear that they were prepared to do more, but were not rushing in with guns blazing. "It seems Europe is set for a recession and possibly a Greek exit from the euro but not a collapse." The good debt auction and the ECB talk buoyed the euro coming into today. This had generated some profit-taking on SA's compatriot currencies. "The rand did not get the impetus that these other currencies received so our pullback shouldn't be as aggressive; 8.10 is nevertheless possible this morning," RMB concluded. Meanwhile Dow Jones Newswires reported that the euro extended gains against the dollar and the yen on Friday in Asia as surprisingly strong demand at debt auctions in Spain and Italy on Thursday boosted expectations for a successful longer-term Italian bond auction later in the NFL jerseys wholesale global day. Thursday's bond sales were considered a mood setter for debt offerings in the eurozone, in particular future auctions in Italy and Spain, the 17-nation currency zone's third and fourth-largest economies. "Expectations have grown that today's Italian bond auction will go quite well," said Kosuke Hanao, head of FX at HSBC in Tokyo. "One of the concerns has eased. Now, players are watching whether the fiscal pact agreed (by European leaders) in December can be nailed down" in coming weeks. Banks that have borrowed from the European Central Bank's long-term refinancing operation in December, initially parked much of that money at the ECB's overnight deposit window, but a drop in the total, announced on Thursday, suggested they were investing the funds, particularly in shorter-dated debt, analysts said. The euro might continue recovering versus the dollar and the yen as many market participants took profits on the massive positions they had built over the previous few weeks as the common currency trended lower, some Tokyo dealers said. On the other hand, the dim eurozone economic outlook, with underlying structural problems yet to be resolved, meant that such position covering might not last long, others said. Bids: 08:32 local time Range so far Previous Close (06:32 GMT) Dlr/Rand 8.0296 8.0172-8.0619 8.0516 Euro/Rand 10.3320 10.3041-10.3394 10.3192 Sterling/Rand 12.3454 12.3263-12.3669 12.3450 nfl headset Euro/Dollar 1.2862 1.2809-1.2879 1.2819

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14-Jan-2012 - Rand firms on improved global risk appetite

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Tracks a euro that is buoyed by events such as the ECB meeting yesterday. Johannesburg, Jan 13 (I-Net Bridge) - The rand firmed against the dollar in early morning trade on Friday as global risk appetite improved. The local currency was tracking a euro that had been buoyed by events such as the ECB meeting yesterday as well as the Spanish bond auctions. "The rand is quite a difficult call because the euro is having a really good relief rally - and perhaps that's all it is," a local currency trader said. "The rand is pretty much range bound and if we don't get through 8.00 to the dollar today, then we'll start seeing around 8.10. "We're near the bottom of the range now but it'll take something special to get us through 8.00," he added. At 08:32 local time, the rand was bid at R8.0296 to the dollar from its previous close of R8.0516. It was bid at R10.3320 to the euro from R10.3192 before, and at R12.3454 against sterling from R12.3450 previously. The euro was bid at US1.2862 from its previous close of US1.2819. RMB said in a morning note that the rand's gains had been coming slowly. "US/ZAR made dips to 8.02 yesterday, EUR/ZAR to 10.23. We expect more, potentially much more, but we may see some pullback this morning custom nfl jerseys before the trend resumes into the weekend and through next week." Underlying RMB's bullish rand call was the much better global risk environment. "We can even go so far as to question whether the eurozone sovereign crisis is over. The ECB may deserve some credit here. Its operations have eased stresses in the money market and have got capital flowing into government debt: yesterday's Spanish bond auction went very well and we should expect the same from Italy today." RMB added that from yesterday's ECB press conference, it was clear that they were prepared to do more, but were not rushing in with guns blazing. "It seems Europe is set for a recession and possibly a Greek exit from the euro but not a collapse." The good debt auction and the ECB talk buoyed the euro coming into today. This had generated some profit-taking on SA's compatriot currencies. "The rand did not get the impetus that these other currencies received so our pullback shouldn't be as aggressive; 8.10 is nevertheless possible this morning," RMB concluded. Meanwhile Dow Jones Newswires reported that the euro extended gains against the dollar and the yen on Friday in Asia as surprisingly strong demand at debt auctions in Spain and Italy on Thursday boosted expectations for a successful longer-term Italian bond auction later in the global day. Thursday's bond sales were considered a mood setter for debt offerings in the eurozone, in particular future auctions in Italy and Spain, the 17-nation currency zone's third and fourth-largest economies. "Expectations have grown that today's Italian bond auction will go quite well," said Kosuke Hanao, head of FX at HSBC in Tokyo. "One of the concerns has eased. Now, players are watching whether the fiscal pact agreed (by European leaders) in December can be nailed down" in coming weeks. Banks that have borrowed from the European Central Bank's long-term refinancing operation in December, initially parked much of that money at the ECB's overnight deposit window, but a drop in the total, announced on Thursday, suggested they were investing the funds, particularly in shorter-dated debt, analysts said. The euro might continue recovering versus the dollar and the yen as many market participants took profits on the massive positions they had built over the previous few weeks as the common currency trended lower, some Tokyo dealers said. On the other hand, the dim eurozone economic outlook, with underlying structural problems yet to be cheap NFL jerseys resolved, meant that such position covering might not last long, others said. Bids: 08:32 local time Range so far Previous Close (06:32 GMT) Dlr/Rand 8.0296 8.0172-8.0619 8.0516 Euro/Rand 10.3320 10.3041-10.3394 10.3192 Sterling/Rand 12.3454 12.3263-12.3669 12.3450 Euro/Dollar 1.2862 1.2809-1.2879 1.2819

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