{"id":67337,"date":"2024-05-31T07:08:29","date_gmt":"2024-05-31T07:08:29","guid":{"rendered":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix"},"modified":"2024-05-31T07:57:37","modified_gmt":"2024-05-31T07:57:37","slug":"rand-tanks-as-investors-worry-over-coalition-mix","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix","title":{"rendered":"Rand tanks as investors worry over coalition mix"},"content":{"rendered":"

Africa-Press – South-Africa. <\/strong><\/span>Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalition with a smaller party.<\/p>\n

But projections hinting at a significant erosion in ANC support have rattled those expectations and unleashed a flood of uncertainty.<\/p>\n

The rand plummeted after a model developed by a state research agency showed that the ANC looks set to lose its parliamentary majority for the first time since it came to power at the end of apartheid three decades ago.<\/p>\n

The currency fell as much as 2.1% to trade at 18.7763 per dollar, while the yield on local-currency bonds maturing in 2035 rose 3 basis points to 12.06%.<\/p>\n

The ANC is on course to win about 42% of the votes cast Wednesday, according to projections from the Council for Scientific and Industrial Research, which are based on an extrapolation of early tallies released by the South African electoral commission. That compares with 57.5% in 2019.<\/p>\n

South African markets had rallied in May on expectations that the next government would be headed by the ANC with a market-friendly coalition partner, signalling policy continuity.<\/p>\n

\u201cThere was little, if any, risk premium as we went into the elections,\u201d said Adriaan du Toit, director of emerging-market economic research at AllianceBernstein.<\/p>\n

\u201cSo, an outcome in line with these initial estimates would certainly put a brake on bullish bets.\u201d<\/p>\n

Much would, however, depend on the shape of potential coalitions, Du Toit said.<\/p>\n

\u201cThe range of political and policy outcomes remains wide, so we might be in limbo for a while.\u201d<\/p>\n

The rand\u2019s implied volatility and bets for rand weakness over the next week against the dollar are trading at the highest level in a year after reaching pandemic-era highs.<\/p>\n

South Africa\u2019s main stock index fell as much as 2.3%, the most since November. That means the country\u2019s stocks have nearly wiped out year-to-date gains, compared with a 3.4% advance in 2024 for MSCI Inc.\u2019s emerging-market benchmark.<\/p>\n

\u201cBefore the vote, investors certainly looked at the South African election with a glass-half-full appraisal,\u201d said Robert Hoodless, co-head of FX & Macro Analysis at InTouch Capital Markets. \u201cNow, volatility in rates and FX might persist if coalition talks are needed \u2014 which is likely \u2014 and are troublesome.\u201d<\/p>\n

With 37% of election stations tallied, the opposition Democratic Alliance had 26.6% of the votes, while the populist Economic Freedom Fighters had 9.1%. uMkhonto weSizwe, or MKP, a new party headed by the country\u2019s scandal-tainted former president, Jacob Zuma, had 9.4%.<\/p>\n

The ANC was at 42.3%, according to the latest verified results from the country\u2019s electoral commission.<\/p>\n

Opinion polls before the vote indicated that the ANC risked losing its majority and would have to enlist the support of one or more rivals to continue governing Africa\u2019s most industrialized economy.<\/p>\n

Coalition Watch<\/p>\n

There is an eclectic mix of parties for potential coalition negotiations, including the DA, led by John Steenhuisen, who promised two million new jobs. The EFF, under Julius Malema, has advocated increased corporate taxes and state custodianship of all land.<\/p>\n

The Inkatha Freedom Party was also seen as a likely coalition partner for the ANC, potentially in exchange for the premiership of KwaZulu-Natal province.<\/p>\n

The MKP has drawn support from Zuma, who remains influential in KwaZulu-Natal.<\/p>\n

\u201cI think markets could get very nervous if coalition negotiations point to potential populist shifts,\u201d said Du Toit.<\/p>\n

For More News And Analysis About South-Africa<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – South-Africa. Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalition with a smaller party. But projections hinting at a significant erosion in ANC support have rattled those expectations and unleashed a flood of uncertainty. The rand plummeted after a model developed by a […]<\/p>\n","protected":false},"author":84,"featured_media":67336,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,5],"tags":[274,315,275],"class_list":["post-67337","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","tag-africa-press","tag-africa-press-south-africa","tag-south-africa-2"],"yoast_head":"\nRand tanks as investors worry over coalition mix - South Africa<\/title>\n<meta name=\"description\" content=\"Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalit ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Rand tanks as investors worry over coalition mix\" \/>\n<meta property=\"og:description\" content=\"Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalit ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\" \/>\n<meta property=\"og:site_name\" content=\"South Africa\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2024-05-31T07:08:29+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-05-31T07:57:37+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"675\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"Rand tanks as investors worry over coalition mix\",\"datePublished\":\"2024-05-31T07:08:29+00:00\",\"dateModified\":\"2024-05-31T07:57:37+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\"},\"wordCount\":566,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-South-Africa\",\"South-Africa\"],\"articleSection\":[\"all news\",\"economy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\",\"url\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\",\"name\":\"Rand tanks as investors worry over coalition mix - South Africa\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg\",\"datePublished\":\"2024-05-31T07:08:29+00:00\",\"dateModified\":\"2024-05-31T07:57:37+00:00\",\"author\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"description\":\"Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalit ...\",\"breadcrumb\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage\",\"url\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg\",\"contentUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg\",\"width\":1200,\"height\":675,\"caption\":\"Rand tanks as investors worry over coalition mix\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.africa-press.net\/south-africa\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Rand tanks as investors worry over coalition mix\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#website\",\"url\":\"https:\/\/www.africa-press.net\/south-africa\/\",\"name\":\"South Africa\",\"description\":\"Just another Africa News Agency Sites site\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.africa-press.net\/south-africa\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\",\"name\":\"cfeditoren\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g\",\"caption\":\"cfeditoren\"}}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Rand tanks as investors worry over coalition mix - South Africa","description":"Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalit ...","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix","og_locale":"en_US","og_type":"article","og_title":"Rand tanks as investors worry over coalition mix","og_description":"Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalit ...","og_url":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix","og_site_name":"South Africa","article_publisher":"https:\/\/www.facebook.com\/AfricaPressTunisiaa","article_published_time":"2024-05-31T07:08:29+00:00","article_modified_time":"2024-05-31T07:57:37+00:00","og_image":[{"width":1200,"height":675,"url":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg","type":"image\/jpeg"}],"author":"cfeditoren","twitter_card":"summary_large_image","twitter_misc":{"Written by":"cfeditoren","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#article","isPartOf":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix"},"author":{"name":"cfeditoren","@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb"},"headline":"Rand tanks as investors worry over coalition mix","datePublished":"2024-05-31T07:08:29+00:00","dateModified":"2024-05-31T07:57:37+00:00","mainEntityOfPage":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix"},"wordCount":566,"commentCount":0,"image":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage"},"thumbnailUrl":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg","keywords":["Africa Press","Africa Press-South-Africa","South-Africa"],"articleSection":["all news","economy"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix","url":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix","name":"Rand tanks as investors worry over coalition mix - South Africa","isPartOf":{"@id":"https:\/\/www.africa-press.net\/south-africa\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage"},"image":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage"},"thumbnailUrl":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg","datePublished":"2024-05-31T07:08:29+00:00","dateModified":"2024-05-31T07:57:37+00:00","author":{"@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb"},"description":"Investors in South Africa had positioned for an election outcome where the ruling ANC could comfortably govern in coalit ...","breadcrumb":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#primaryimage","url":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg","contentUrl":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2024\/05\/sm_1717129558.809638.jpg","width":1200,"height":675,"caption":"Rand tanks as investors worry over coalition mix"},{"@type":"BreadcrumbList","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/rand-tanks-as-investors-worry-over-coalition-mix#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.africa-press.net\/south-africa\/"},{"@type":"ListItem","position":2,"name":"Rand tanks as investors worry over coalition mix"}]},{"@type":"WebSite","@id":"https:\/\/www.africa-press.net\/south-africa\/#website","url":"https:\/\/www.africa-press.net\/south-africa\/","name":"South Africa","description":"Just another Africa News Agency Sites site","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.africa-press.net\/south-africa\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb","name":"cfeditoren","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g","caption":"cfeditoren"}}]}},"_links":{"self":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/posts\/67337","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/users\/84"}],"replies":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/comments?post=67337"}],"version-history":[{"count":0,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/posts\/67337\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/media\/67336"}],"wp:attachment":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/media?parent=67337"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/categories?post=67337"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/tags?post=67337"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}