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FX DAILY REPORT – 24 March 2025

  • The Rand opened stronger against the GBP and weaker against the USD & EUR this morning.
  • The South African Reserve Bank decided to hold interest steady at 7.50% on Thursday afternoon, with SARB Governor Lesetja Kganyago stating “Some policy adjustments by major central banks are still expected this year, but rates are likely to remain high for longer, given new inflation risks”.
  • Relations between the US and SA continue to strain the ZAR, as the potential for US tariffs against South Africa remains a concern. The AGOA free trade agreement for Sub-Saharan countries is due for renewal in September. With diplomatic tensions rising and global trade policies shifting, fears are growing that South Africa could lose its AGOA benefits, further impacting its economy.

Todays Events:

 

  • HCOB German Manufacturing PMI Pre. at 10:30 – Expected to be 47.1 compared to previous 46.5. A higher-than-expected result can be seen as positive for the EUR.
  • UK S&P Global Manufacturing PMI Pre. at 11:30 – Expected to be 47.3 compared to previous 46.9. A higher-than-expected result can be seen as positive for the GBP.
  • US S&P  Global Manufacturing PMI Pre. at 15:45 – Expected to be 51.9 compared to previous 52.7. A higher-than-expected result can be seen as positive for the USD.