South African Reserve Bank Raises Main Repo Rate to 7%

WSJMay 28 21:49

South African Rand Could Show Modest Reaction to Potential Rate Rise -- Market Talk

WSJMay 28 16:22

A rebound is anticipated, and South Africa may consider raising interest rates.

Outlook for the week from April 27 to May 8: A rebound in Land/Japanese yen is expected. In South Africa, a potential interest rate hike could come into view due to rising inflation concerns. This week, the Bank of Japan’s Monetary Policy Meeting will be held, but an interest rate hike is expected to be postponed, and growing economic concerns may lead to a more dovish stance than anticipated. Meanwhile, in South Africa, increasing inflation concerns could prompt speculation about a near-term interest rate hike by the South African Reserve Bank (central bank), creating room for a policy shift. A reversal in Land/Japanese yen is highly probable.

Fisco JapanApr 26 12:20

Emerging market currencies were bought amid a sharp rise and a risk-on sentiment.

Overview of Last Week: April 6 - April 10 Land (South African Rand) / Yen High: 9.7434 yen Low: 9.371 yen Closing: 9.6961 yen Change from the previous week: +3.38% (Significant increase) In line with a risk-on sentiment, emerging market currencies were bought substantially. The agreement between the United States and Iran on a two-week ceasefire strengthened the risk-on trend, leading to capital inflows into emerging market currencies. Additionally, the Land benefited as South Africa is an energy-importing country and also a gold-producing nation, with falling crude oil prices and rising gold prices providing support.

Fisco JapanApr 12 06:38

Yields may rise, and there could be growing awareness of the possibility of future interest rate hikes.

Outlook for the week of March 30 to April 3: Yields on 10-year bonds may rise, with potential consideration of future interest rate hikes. Although the policy interest rate was kept unchanged at last week's monetary policy meeting, concerns over rising inflation due to recent increases in crude oil prices are growing, and a shift toward interest rate hikes may come into focus moving forward. Amid global risk-off sentiment, depreciation of the South African Land could also be anticipated, suggesting yields are likely to trend upward in the near term.

Fisco JapanMar 29 17:39

Currencies With Fiscal Risks Look Vulnerable Due to Iran Conflict -- Market Talk

WSJMar 27 21:41