The South African rand dove in value on Tuesday against the world's reserve currency for the first time in five trading sessions after the country released economic data noting its current-account chasm developed more than forecast during the second quarter of the year, Bloomberg reports.
The monetary unit drew down after notching its four-week high against its cross-Atlantic rival. During the April-to-June period, the deficit in South Africa increased to 6.5 percent of gross domestic product after registering at 5.8 percent during the first quarter, states official data released on Tuesday. The median forecast of economists polled by the news source was 6.2 percent.
Shipments from South Africa have endured pressure as demand wanes from Europe. Thus far this year, the rand has dropped about 15 percent against the U.S. dollar. The news source attributes the losses to rough times in the country's mining sector.
After pushing to its top value since the middle of last month earlier during the Tuesday trade session, the rand dove 0.5 percent against the dollar.
Recent losses that the rand has endured are correlated with labor disputes at auto plants and construction sites, according to The Wall Street Journal.
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