The South African rand thus far this year has plunged more than 3 percent against the world's reserve currency, distinguishing itself as the worst-performing of the globe's major economies, according to Bloomberg.
However, economists and analysts polled by the news source project the rand to climb against the U.S. dollar by the end of the first quarter of the year.
"From a technical perspective the rand is certainly a bit oversold," chief dealer Ion de Vleeschauwer with Bidvest Bank Ltd. in Johannesburg told the news source late last week. "There is room for a correction."
The performance of the rand has been harmed by ongoing labor disputes at platinum mines in South Africa. The monetary unit is likely to be impacted by the decision of the U.S. Federal Reserve regarding the future of monetary policy as the body plans to convene two days of meetings later this month.
South African Finance Minister Pravin Gordhan said on Monday that the ongoing strife at the mines is harmful to the nation as it looks to boost the labor market, according to Reuters.
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