Nice surprise for the rand

• The rand has started the new week in a stronger position against the US dollar, trading at around R16.15.
• The rand's strength is attributed to a decrease in risk aversion in global markets, as interest rate hikes are now seen as less likely, particularly after the US held interest rates and the South African Reserve Bank (SARB) surprised markets by not hiking rates.
• The rand's resilience is expected to continue, with Investec Chief Economist Annabel Bishop predicting further strengthening, but markets remain cautious about inflation, which could impact the under-recoveries in local fuel pricing.