{
  "id": 12131128,
  "title": "Monday Markets: SA rand tanking, but oil prices softer and stocks rally on 'Goldilocks' data",
  "url": "https://urgent.news/2026/10/05/monday-markets-sa-rand-tanking-but-oil-prices-softer-and-stocks-rally",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-05T10:13:00.000Z",
  "source": {
    "name": "IOL",
    "slug": "iol",
    "url": "https://iol.co.za/business/economy/2026-10-05-monday-markets-sa-rand-tanking-but-oil-prices-softer-and-stocks-rally-on-goldilocks-data/"
  },
  "original_language": "en",
  "account": "The South African rand suffered a decline over the past two weeks, sliding from below R16/$ to approximately R16.70/$ as of late last week, the lowest point since July. On Monday, the currency was trading at R16.71/$, R18.67€, and R22.06£. Factors behind the weakening rand include a stronger US dollar, rising global bond yields, and increased safe-haven flows into the dollar, according to Reuters. Investec chief economist Annabel Bishop pointed out that Middle East tensions, higher oil prices, and the dollar's safe-haven appeal are also pressuring the local currency. While the rand has weakened less against the euro and pound, the latest drop appears primarily due to dollar strength rather than deteriorating fundamentals in South Africa. Asian markets mirrored the optimism from Wall Street on Monday, with all three main indexes surging following the release of the US non-farm payrolls data. The report indicated the US economy added only 29,000 jobs in September, far below expectations for around 90,000, and revised numbers for July showed job losses. Consequently, the Fed's likelihood of raising interest rates this year fell to around 20%, down from over 65% earlier in the week. This shift has driven up borrowing costs for US government bonds, with the 10-year Treasury yield reaching a 24-year high. Market participants now anticipate a more measured pace of hiring, with expectations of 40,000 to 60,000 jobs added per month, described as the \"Goldilocks zone.\" Core PCE inflation remains high at 3% year-over-year, but recent data suggests a cooling trend. The positive sentiment led to gains for tech-heavy markets, including Tokyo, Taipei, Hong Kong, Sydney, Singapore, Wellington, Bangkok, Mumbai, Manila, and Jakarta. London saw a slight increase, while Frankfurt and Paris experienced a dip. Additionally, the G7 announced the release of 100 million barrels of diesel and crude oil from strategic reserves over four months, aiming to prevent export restrictions. Saudi Arabia also reduced the price of its benchmark crude for Asian markets by $5 below the regional average. However, while Middle East oil exports surged last week, diesel prices remain tight due to damaged refineries from the conflict and Ukrainian strikes impacting Russian refineries.",
  "summary": "Equities rallied on Monday after a sharp miss in US job creation gave the Federal Reserve more room to hold off on an interest rate hike this month, while another drop in oil prices eased inflation concerns.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}