The South African rand on Thursday notched an 11th consecutive trading session of losses, marking its longest bearish trend in a quarter century, Bloomberg reports.
The currency of the largest economy on the African continent was drawn down by testimony of the chairman of the U.S. central bank who told congress on Wednesday that the economy-spurring monetary easing measures ultimately will close. The rand has distinguished itself as the worst-performing of emerging market monetary units that the news services tracks and it is trading at its lowest rate since the end of the first quarter of 2009.
U.S. Federal Reserve chairman Ben Bernanke told congress on Wednesday that monetary stimulus will continue in the near-term to benefit the recovery of the globe's largest economy.
The South African Reserve Bank is forecast to keep its repo rate at 5 percent after it adjourns its Thursday policy meeting, according to Business Day.
"This should put to rest market hopes of further near-term rate cuts from the SARB," economist Peter Worthington with Absa Capital told Business Day on Thursday.
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