Bank of America
FX Outlook 2026: Structural Dollar Headwinds
LIVE5 December 2025USD bearish
Back to CurrenciesBullish
USD/ZAR
ZAR is our top EM EMEA pick. Commodity terms of trade, fiscal consolidation, and
BofA Forecast Path
Cross-Firm Forecast Comparison
Key Drivers
Commodity terms of trade
GNU stability
Fiscal consolidation
Cheap valuations
All Firm Targets (Dec '26)
JPMBullish16.25
INGBullish16.25
BARCBullish16.10
GSBullish16.00
MUFGBullish16.00
BofABullish15.80
MSBullish15.75
DBStrongly Bullish15.50
Analysis Summary
ZAR is our top EM EMEA pick. Commodity terms of trade, fiscal consolidation, and GNU political stability create a strong backdrop. Cheap valuations and carry make ZAR attractive for total return.