South African Rand Edges Up at Start of Data-Filled Week
The South African rand edged up against a weaker dollar in early trade on Monday, at the start of a packed week for local economic data.
At 0645 GMT, the rand traded at 18.5750 against the dollar, about 0.2% stronger than its closing level on Friday.
The dollar last traded around 0.2% weaker against a basket of global currencies.
The rand gained roughly 2% last week, mainly taking its cue from offshore factors.
“The rand is, unfortunately, merely a passenger in the global current of macro developments,” Rand Merchant Bank analysts said in a research note, adding that the currency would probably stay volatile in the months ahead “as the (U.S. Federal Reserve) dictates terms for global asset prices via the dollar”.
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Local data releases this week including July money supply (ZAM3=ECI), private sector credit (ZACRED=ECI) and budget (ZABUDM=ECI) numbers on Wednesday, and July producer inflation (ZAPPIY=ECI) and trade (ZATBAL=ECI) figures on Thursday.
South Africa’s benchmark 2030 government bond was slightly stronger in early deals, with the yield down 2.5 basis points to 10.185%.
