SA markets set to rally on Joe Biden win

The rand is set to extend gains that propelled it to an eight-month high as markets heaved a collective sigh of relief at the end of a week in which Joe Biden unseated Donald Trump as US president. Traders hope this outcome will cause Trump’s “America First” policy to be rescinded and chaotic policymaking to end, including that which led to a damaging trade war with China.

From R16.40/$ in early trade on Tuesday, when it slid more than 2% as Trump won the key states of Texas and Florida, the rand ended at R15.58/$ on Friday, the best close since March 4 and 4.1% stronger than seven days earlier.