Rand plunges further as Trump raises trade tariffs

The Rand has continued to extend its losses against the US dollar after President Donald Trump announced new and higher tariffs against its trading partners.

On Thursday morning, the local currency plummeted to R18.83 to the dollar, just shy away from the R19 mark. This is on the back of risk aversion with the impact of the new tariffs largely uncertain.

This is the weakest level the local currency has hit since mid-January this year.

On Wednesday, Trump announced a 30% baseline tariff on all imports from South Africa to the United States.

At the same time, the budget’s fiscal framework was passed after weeks of political disputes. The Democratic Alliance voted against the framework and said it would challenge the outcome in court.
This has triggered fears about the sustainability of the GNU.