The rand strengthened ahead of a flurry of local data this week which will give traders clarity on the state of Africa’s most industrialised economy.
At 0748 GMT, the rand traded at 18.39 against the dollar , 0.3% firmer than its previous close.Domestic investors will focus on South Africa’s monthly consumer inflation reading on Wednesday, producer inflation figures on Thursday and trade and budget balance data on Friday.
The dollar was last around 0.1% weaker against a basket of other major currencies with traders digesting last week’s dour U.S. economic releases and President Donald Trump’s fresh tariff threats.
“On the one hand, the USD is losing some ground and will support the ZAR. On the other hand, a tremendous amount of data will keep investors cautious about taking any significant directional position,” ETM Analytics said in a research note.
On the stock market, the Top-40 (.JTOPI), opens new tab index was down about 0.7%.South Africa’s benchmark 2030 government bond was marginally stronger, with the yield down 0.5 basis point to 9.165%.