{"id":168943,"date":"2017-04-06T15:44:02","date_gmt":"2017-04-06T13:44:02","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=168943"},"modified":"2017-04-06T15:44:32","modified_gmt":"2017-04-06T13:44:32","slug":"rand-to-remain-stable-as-gordhan-and-junk-status-already-priced-in","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/finance\/168943\/rand-to-remain-stable-as-gordhan-and-junk-status-already-priced-in\/","title":{"rendered":"Rand to remain stable as Gordhan and junk status already priced in"},"content":{"rendered":"<p>South Africa&#8217;s rand is expected to remain relatively stable against the dollar for the rest of 2017 as the impact of finance minister Pravin Gordhan&#8217;s shock dismissal and a credit rating cut to &#8220;junk&#8221; is already priced in, according to a new poll by <strong><a href=\"http:\/\/www.reuters.com\/article\/us-forex-poll-safrica-idUSKBN1781MA?il=0\" target=\"_blank\">Reuters<\/a><\/strong>.<\/p>\n<p>As a result the rand is\u00a0expected to weaken from a current R13.74 per dollar to R14.00 within the next 12 months, and is even expected to firm to R13.50 to the dollar within the coming six months noted the report.<\/p>\n<p>&#8220;One has to remember that Nene-gate was a total shock. It came out of the blue,&#8221; said Hugo Pienaar, economist at the Bureau for Economic Research. &#8220;Whereas what has happened now, both the reshuffle and the ratings downgrade were not totally unexpected; to an extent they have been discounted.&#8221;<\/p>\n<p>This was corroborated by two earlier Reuters polls which found that\u00a0most analysts expected a ratings downgrade to junk, most likely by S&amp;P, by the end of 2016 and the fact that the rand fell substantially less than\u00a0after Nene&#8217;s dismissal in December 2015.<\/p>\n<p>However, Pienaar warned the market could take different view if other agencies also downgrade the country&#8217;s ratings. This warning follows confirmation\u00a0by ratings agency\u00a0Moody&#8217;s, who said it is in the process of reviewing its rating earlier this week.<\/p>\n<hr \/>\n<p><strong>Read:\u00a0<a href=\"https:\/\/businesstech.co.za\/news\/finance\/168761\/how-long-it-could-take-south-africa-to-climb-out-of-junk-status\/\" target=\"_blank\">How long it could take South Africa to climb out of junk status<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>South Africa&#8217;s rand is expected to remain relatively stable against the dollar for the rest of 2017 as the impact of Finance Minister Pravin Gordhan&#8217;s shock dismissal and a credit rating cut to &#8220;junk&#8221; is already priced in, according to a new investor poll by Reuters.<\/p>\n","protected":false},"author":10,"featured_media":114834,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11121],"tags":[25],"class_list":["post-168943","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","tag-active"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/168943","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=168943"}],"version-history":[{"count":8,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/168943\/revisions"}],"predecessor-version":[{"id":168965,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/168943\/revisions\/168965"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/114834"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=168943"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=168943"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=168943"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}