ADVERTISEMENT

Rand off lows but still vulnerable

At 0647 GMT, the rand traded at 15.5500 versus the dollar, 0.7 percent firmer from Monday's New York close.

South African Rand coins are seen in this photo illustration taken September 9, 2015.   REUTERS/Mike Hutchings

South Africa's rand edged up on Tuesday from two-month lows against the dollar hit the previous day but remained under pressure as traders shifted their focus from domestic politics to global economic data.

The currency hit a two-month low of 15.7420 on Monday after a newspaper report, denied by the government, that Finance Minister Pravin Gordhan faces arrest.

The report raised concerns of a repeat of the run on the rand and bonds in December after President Jacob Zuma changed finance ministers twice in a week, just as South Africa tries to fend off a credit ratings downgrade.

"Domestic sentiment will remain negative for the rand," Rand Merchant Bank analyst Isaah Mhlanga said in a note.

ADVERTISEMENT

"From a data perspective, today will be dominated by market-moving U.S. data which should take attention away from local politics."

The currency market will have a chance to gauge the underlying strength of the U.S. economy through a batch of data later in the day, including consumer inflation numbers, industrial production and manufacturing output.

South African stocks were set to open higher at 0700 GMT, with the JSE securities exchange's Top-40 futures index up 0.59 percent.

In fixed income, the yield for the benchmark bond due in 2026 was up 0.5 basis points to 9.335 percent.

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.
ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: eyewitness@pulse.ng

Recommended articles

Perpetrators must face the law - Plateau com demands Justice for minor's murder

Perpetrators must face the law - Plateau com demands Justice for minor's murder

Peter Obi breaking fast with Muslims in Abuja mosque gets Nigerians talking

Peter Obi breaking fast with Muslims in Abuja mosque gets Nigerians talking

Video of weird school competition shows young students licking one another's feet

Video of weird school competition shows young students licking one another's feet

UniCal records highest number of first class graduates in 49 years

UniCal records highest number of first class graduates in 49 years

Army announces names of 17 soldiers killed in shocking Delta attack

Army announces names of 17 soldiers killed in shocking Delta attack

Ooni wants Ile-Ife, Modakeke indigenes to live together peacefully

Ooni wants Ile-Ife, Modakeke indigenes to live together peacefully

'Politics is not about being negative every time' — Peter Obi

'Politics is not about being negative every time' — Peter Obi

Army thinks Okuama community planned shocking murder of 16 soldiers in Delta

Army thinks Okuama community planned shocking murder of 16 soldiers in Delta

27,600 Benue women to receive grants, loans for business growth, self reliant

27,600 Benue women to receive grants, loans for business growth, self reliant

Pulse Sports

Super Eagles Bright Osayi-Samuel punches pitch invader as violence erupts following Trabzonspor vs Fenerbahce

Super Eagles Bright Osayi-Samuel punches pitch invader as violence erupts following Trabzonspor vs Fenerbahce

Naija Stars Abroad: Moffi, Chukwueze battle Oshoala, Echegini for POTW

Naija Stars Abroad: Moffi, Chukwueze battle Oshoala, Echegini for POTW

Report: Super Eagles get new coach for Ghana and Mali clash

Report: Super Eagles get new coach for Ghana and Mali clash

Osimhen misses out on N17b payday after Napoli's UCL loss to Barcelona

Osimhen misses out on N17b payday after Napoli's UCL loss to Barcelona

‘Thank you’ - Osimhen’s girlfriend Stefanie Ladewig grateful for being the mother of his child

‘Thank you’ - Osimhen’s girlfriend Stefanie Ladewig grateful for being the mother of his child

4 reasons why Victor Osimhen should choose Arsenal over Chelsea, Manchester United and PSG

4 reasons why Victor Osimhen should choose Arsenal over Chelsea, Manchester United and PSG

ADVERTISEMENT
ADVERTISEMENT