FX Monthly Chart Book
- The rand has strengthened significantly in recent weeks, and remains strong relative to emerging market peers. It has traded in a range of R13.74/$ to R14.38/$ in May.
- The terms of trade provided strong support to the rand in 2020 and H1:21; we view the rand as fairly valued given the current domestic and global fundamentals.
- We foresee modest depreciation from H2:21, underpinned by the partial reversal of the recent commodity price strength.
- We see the rand ending the year at R14,30/$, and averaging R14,25/$.