THE rand traded stronger on Friday morning with the news of the death of former president Nelson Mandela not expected to affect the currency.
Analysts believe that because markets have been fully aware of his deteriorating health, Mandela’s death should have no adverse consequences. His legacy and the solid political fundamentals initiated during his presidency should suffice to stabilise markets.
At 7.49am the rand was at R10.4414 to the dollar from R10.4543 at Thursday’s close.
Against the euro‚ the rand was at R14.2600 from R14.2846 at its previous close and was at R17.0358 against the pound from R17.0645 at Thursday’s close.
In depth: Nelson Rolihlahla Mandela 1918-2013
News and views on the death, and life, of former president Nelson MandelaThe euro was at $1.3658 against the dollar from $1.3668 at its previous close.
Nedbank Capital strategic research head Mohammed Nalla said news of Mandela’s passing should even prove benign for the rand. "The rand will be more affected by the global focus on today’s US employment data."
Meanwhile, all JSE markets will pause for five minutes at 11am on Friday as a sign of respect for Mandela, the JSE said.
