South Africa's Rand Gains to 11-Month High; Expectations of Wider Rate Gap

(Bloomberg) -- South Africa's rand climbed to the
highest in almost a year against the dollar on expectations the
interest-rate gap with the U.S. will widen.

The currency of Africa's biggest economy has benefited as
the Reserve Bank lifted borrowing costs five times in the past
year to 9.5 percent and is expected to keep doing so to curb
inflation. The dollar held near a record low versus the euro on
speculation slowing economic growth will prevent the Federal
Reserve from raising U.S. rates.


Read more at Bloomberg Currencies News