| USD
The dollar weakened against its rivals in late trading on Friday, ending the week on the backfoot after the release of US inflation data. US CPI index climbed to 6.8% YoY in November, amidst supply chain constraints, further prompting expectations of sooner than expected interest rate hike. The dollar index reached a low of 96.427 before ending the session at 96.097. EUR The euro saw some gains on the back of a weaker dollar, pairing up its previous session’s losses, also supported by stable GDP data from Germany. The single currency initially dipped to a low of $1.263 before reversing all the day’s losses to end the session firm at $1.311. GBP Pound Sterling was also up on the day, benefiting from a broader dollar weakness in Friday’s session. The focal point for the cable this week is the delivery of the Bank of England’s policy rate decision later in the week. A great deal of uncertainty still remains as it’s still unclear in which direction the BOE will move. The cable rose to a high of $1.3275 before ending the session at $1.3269. ZAR The rand traded under immense pressure in its early activities on Friday, soaring to touch a high of 16.0865$, before staging a brief recovery during the New York session to end the session slightly flat. Post the release of the US CPI inflation data, the rand was seen strengthening to a low of 15.8624$ on the back of a softer dollar. Although the local unit struggled quite to build on its gains as rising Covid cases continue to weigh on the currency. The rand ended the day flat at 15.9741$ We are empty on the data front today. The rand will continue to follow global trends and other market moving events, with developments around local and global Covid cases been something to look out for. Expected ranges for the day:
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