The Rand recently strengthened to R17.16 per US dollar, a level not seen since January 2023. The weakening of the dollar, improved local economic factors, and China’s announcement of a significant economic injection all contribute to this exchange rate movement. The Brent crude oil price is currently at R71.63 per barrel. Tensions in the Middle East have escalated, with Israel increasing airstrikes in Lebanon. However, there is also a risk that this conflict could spill over into Iran, which has OPEC concerned about potential negative impacts on Brent crude oil supply. Saudi Arabia announced plans to increase production by 180,000 barrels per day later this year to address possible supply issues. The market is also keeping an eye on China, hoping that their planned economic stimulus will boost oil demand.