Watching CPI Data & the $ZARUSD Move

It's been an interesting week, particularly with the recent CPI data dropping and how the market is digesting it. I've been keeping a close eye on the bond market's reaction, which seems to suggest a bit more conviction that we're past peak inflation, at least for now. This sentiment is certainly bleeding into FX, and I've noticed the $ZARUSD pair catching a bit of a bid, currently trading around $0.06130531, up 0.67% on the day. It touched $0.06135007 earlier, so there's some decent momentum there.

What's interesting to me is how much of this is pure macro sentiment versus any specific internal catalysts for the ZAR itself. While the broader 'risk-on' mood certainly helps, I'm trying to gauge the stickiness of this move. My watchlist is currently leaning towards currencies that show resilience against a strengthening dollar if the Fed remains hawkish, but also those that could benefit from any dovish shifts. I'm not making any big moves yet, but the resilience in pairs like $ZARUSD, even in a volatile environment, is worth noting. It makes me wonder if we're seeing some early positioning for a more nuanced global economic picture later this year.