Tue. Nov 19th, 2024

The South African rand slightly weakened in early trade on Tuesday as investors awaited a local inflation report and upcoming monetary policy decision.
At 0559 GMT, the rand traded at 17.9650 against the U.S. dollar , about 0.1% weaker than its previous close.

“It is a quiet day on the data front,” said Adam Phillips, treasury specialist at Umkhulu Treasury.
“Technically, the ZAR could come back to 17.80, but I think the moves today should be more measured, with some consolidation taking place,” Phillips said.

South Africa-focussed investors will eye October’s inflation print (ZACPIY=ECI), opens new tab on Wednesday and the central bank’s monetary policy decision (ZAREPO=ECI), opens new tab on Thursday.
The bank is expected to reduce the repo rate by 25 basis point, according to a poll of economists, after implementing a cut of the same magnitude at its September meeting.
South Africa’s benchmark 2030 government bond was flat in early deals, with the yield at 9.117%.

By Joy

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