Earlier this week, USD/ZAR rallied to a new multi-month high of 17.42. Analysts at Credit Suisse raise their USD/ZAR target range to 17.00-18.00.

Adjusting target range to a stronger USD environment

“The USD’s strength is likely to remain a common feature for now. Accordingly, we raise our USDZAR target range to 17.00-18.00 (from 16.50-17.50 previously).”

“Trading-wise, in the short run we would look to fade rallies towards the top-end of our new target range as South Africa’s balance of payments dynamics are relatively favorable and given that the next local risk event – the mid-term budget review – is due only in late October.”