Johannesburg. — The rand traded in a narrow range against major currencies yesterday morning, but was operating in a firmer environment after the US dollar lost some ground. The dollar fell against major currencies on Wednesday following the release of US retail sales data. US Commerce Department figures showed that retail sales dipped 0,9 percent in December from the previous month, against forecasts of a 0,1 percent fall — the biggest drop since January 2014.
At 8.25am, the rand was trading at 11,4551 from the previous close of 11,4353. Against the euro the local currency was at 13,4752 from a Wednesday close of 13,4769 and was at 17,4387 against the British pound from 17,4213. The euro was at $1,1765 from $1,1784.
Barclays Research said in an early morning note that the rand also strengthened against the euro following added speculation that the eurozone would extended its stimulus measures to buying sovereign debt.
Dow Jones Newswires reported that an adviser to Europe’s top court on Wednesday said the European Central Bank (ECB) could legally buy large quantities of eurozone government debt to stabilise the eurozone’s economy‚ delivering a key endorsement for the bank as it prepared another round of stimulus measures. — BDlive.