Rand Heads for Six-Week Low as Gordhan Summons Puts Job at Risk
- SocGen: 80% chance S&P will downgrade South Africa to junk
- Nedbank doesn’t see rand ‘blowing out’ to January’s levels
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The rand weakened for a second day, heading for the lowest in almost six weeks amid renewed concerns that South African Finance Minister Pravin Gordhan’s job is on the line.
The currency of Africa’s most-industrialized economy declined as much as 0.8 percent to the lowest since Sept. 1 on a closing basis and was 0.7 percent lower at 14.4760 per dollar by 12:31 p.m. in Johannesburg. Benchmark government bonds due December 2026 weakened for a third day, the longest stretch since the three days to June 14. The yield rose three basis points to 8.96 percent, heading for the highest close since Sept. 1.