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Blog: 23 February 2018 (Rand vs Turkish Lira and Chilean Peso)
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In today's blog we take a look at South Africa's currency, The Rand and its performance against the Turkish Lira and the Chilean Peso.
Data supplied to us by TreasuryOne. Visit their website at www.TreasuryOne.co.za |
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Rand vs Turkish Lira vs Chilean Peso
So why exactly did we decide to compare the South African Rand to the Turkish Lira and the Chilean Peso? Well we like providing details to readers that they might not always find elsewhere. This and the fact that both these countries are seen as emerging markets (in the same way as South Africa is seen as an emerging market). As all three countries are seen as emerging markets we thought it apt to provide a comparison of the three countries exchange rates over the last coupe of years.
So in the last month, the Rand has gained 3.05% against the Turkish Lira, while it remained flat against the Chilean Peso over the same time period. When look at the performance of the Rand against the Lira and Peso over the last year, we see that the Rand has gained 16.76% against the Turkish Lira and 1.79% against the Chilean Peso. Thus the Rand seems to doing a lot better against the Turkish Lira compared to its Southern Hemisphere compatriot the Chilean Peso. See the image below.
1 Year Performance
12months performance of the Rand against the Turkish Lira and Chilean Peso
When looking at the Year to date (YTD), the Rand has gained 6.22% against the Turkish Lira and 2.26% against the Chilean Peso. Shows a strong performance in the Rand from the beginning of the year. No doubt the fact that Cyril Ramaphosa was elected as ANC president in December and having been sworn in as the president of South Africa in the middle of February has helped the South African Rand's performance so far in 2018, as Cyril is seen as pro business and his appointment and promise to fight corruption is bringing investor confidence back into South Africa and hence the stronger performing currency.
Rand vs Turkish Lira vs Chilean Peso from January 2015
While sentiment towards the Rand has been positive in recent months, the currency has taken a pounding over the last coupe of years. When looking at the performance of the Rand against the Turkish Lira and the Chilean Peso fromt he beginning of 2015 for example one will find that the Rand has actually lost ground against the Chilean Peso, and for large parts of 2015 and 2016 actually lost ground against the Turkish Lira too. However terrorist attacks in Turkey, attempted Coup, a little skirmish with Russia, crackdown on the press etc are all elements negatively affecting the Turkish Lira since the middle of 2016 and it is losing ground steadily against the Rand. And from the start of 2015 the Lira has lost almost 55% of its value against the South African Rand. And the start of 2015, R1 bought 0.209 Lira, while at 22 February 2018, R1 bought 0.325 Turkish Lira.
See the image below for the Rand vs Turkish Lira vs Chilean Peso from January 2015
See the image below for the Rand vs Turkish Lira vs Chilean Peso from January 2015
South African Rand vs Turkish Lira vs Chilean Peso from the start of 2015.
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