Rand hit hard after Pravin Gordhan sacked
Updated | By Suné du Toit
The rand has taken a dive following the news that Finance Minister Pravin Gordhan has been removed in last night's cabinet reshuffle.
The currency, which traded at R12.41 against the US Dollar on Monday morning, has reacted negatively to speculation of the imminent reshuffle this week.
This morning it's trading at R13.47 to the US Dollar.
Chief Economist at Efficient Group, Dawie Roodt, however, says the rand is not in a freefall.
"I don't think the rand is going to go much weaker than where it is at the moment. Of course, it depends on what's going to happen on the political front, because I don't think we have seen the end of political development. A lot can still happen today," says Roodt.
ALSO READ: All eyes on Ramaphosa for leadership: analyst
Roodt says we can expect a downgrade.
"We had a chance, they gave us an opportunity. Even if President Zuma is replaced, I don't think we can avert a downgrade," says Roodt.
Show's Stories
-
Another epic week of fishing in KZN
It has been another bumper week of fishing in KZN. Catch Vinesh Soogreem...
East Coast Breakfast 6 hours ago -
Beyonce lookalike takes internet by storm
A makeup challenge video went viral, not just for the challenger’s skill...
Stacey & J Sbu 13 hours ago