# South African rand weaker as Fed rate bets support dollar | CNBC Africa

> The South African rand weakened in early trade on Friday as money markets priced about an 86% chance of a 25 basis point Fed hike in May. The dollar firmed against a basket of currencies on those expectations.

- Date: 2023-04-21 · published 2023-04-21T12:00:00.000Z
- Category: macro · region South Africa · magnitude low
- Page: https://feedsoft.ai/events/36686-south-african-rand-weaker-as-fed-rate-bets-support-dollar-cnbc-africa
- Commodities: [South African Rand (ZAR per USD)](https://feedsoft.ai/c/USDZAR.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Expectations of further US rate hikes strengthen the dollar and weigh on emerging-market currencies. A stronger dollar can soften demand for US commodity exports priced in dollars, which is mildly bearish for feed commodities.

## Read by commodity

- DXY: bullish ▲
- USDZAR: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-08-19 | [South African rand dips as dollar hits three-week high after Fed minutes \| CNBC Africa](https://feedsoft.ai/events/40328-south-african-rand-dips-as-dollar-hits-three-week-high-after-fed-minutes-cnbc.md) | +0.6% | +2.1% |
| DXY | 2025-09-26 | [South African rand edges down after better-than-expected U.S. data \| CNBC Africa](https://feedsoft.ai/events/23176-south-african-rand-edges-down-after-better-than-expected-u-s-data-cnbc-africa.md) | -0.1% | +0.3% |
| DXY | 2025-10-21 | [South African rand falls on stronger dollar \| Reuters](https://feedsoft.ai/events/22706-south-african-rand-falls-on-stronger-dollar-reuters.md) | +0.1% | +0.5% |
| DXY | 2022-09-26 | [South African rand slumps to 28-mth low as dollar reigns supreme](https://feedsoft.ai/events/39843-south-african-rand-slumps-to-28-mth-low-as-dollar-reigns-supreme.md) | +0.2% | +0.6% |
| DXY | 2021-01-28 | [South Africa's rand falls as risk-off sentiment lifts dollar](https://feedsoft.ai/events/49431-south-africa-s-rand-falls-as-risk-off-sentiment-lifts-dollar.md) | +0.2% | -0.1% |

## Sources

- cnbcafrica.com: https://www.cnbcafrica.com/2023/south-african-rand-weaker-as-fed-rate-bets-support-dollar

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.