The ZAR has been trading stronger since the MPC announcement that interest rates will be sliced by 25bps and that the repo rate will be at 6.5% effective 19 July 2019. The move is supported by weak growth, inflation hovering around the mid-point of the SARB's target range and an inflation trend that seems to be downwards.
The FRAs are now pricing in around 50% chance of another 25bps cut in September. Elsewhere, the EUR and GBP both remained in recent ranges with 1.12 holding firm once again on the EURUSD. Gold traded in a $15 range while palladium is 1.43% down as our markets draw to a close.