# These 3 graphs show why analysts think the rand could crash to R20 to the dollar – BusinessTech

> RMB currency expert John Cairns warns the rand could weaken sharply as the Fed begins a rate-cutting cycle, citing four past cycles in which the rand weakened. His model puts the chance of a 30% or greater dollar/rand move in the next year at 47%. He also notes the rand typically firms in the first months after a cut.

- Date: 2019-07-25 · published 2019-07-25T12:00:00.000Z
- Category: macro · region South Africa · magnitude low
- Page: https://feedsoft.ai/events/58391-these-3-graphs-show-why-analysts-think-the-rand-could-crash-to-r20-to-the
- Commodities: [South African Rand (ZAR per USD)](https://feedsoft.ai/c/USDZAR.md)

## Why it matters

A sharp rand sell-off would raise the dollar cost of imported feed inputs for South African buyers, though analysts expect an initial rally.

## Read by commodity

- USDZAR: bullish ▲

## Sources

- businesstech.co.za: https://businesstech.co.za/news/finance/331249/these-3-graphs-show-why-analysts-think-the-rand-could-crash-to-r20-to-the-dollar/

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