The Rand Index (RAIN) is a currency index that tracks the performance of the rand against a basket of five other currencies, representing South Africa’s most prominent international trading partners. The five currencies and their weights in the index is determined based on the value of goods imported and exported between South Africa and its trading partners, as reported by the South African Revenue Service (SARS). The five currencies included in the index are the euro, US dollar, Chinese yuan, UK pound and Japanese yen.
The index itself is not a tradable product, but a measure of performance of the South African rand. Market commentators, economists, traders and investors interested in identifying market patterns can refer to the RAIN. Those interested in taking a direct view on the rand’s performance can trade Currency Futures or Options.