JOHANNESBURG: South Africa’s rand weakened in early trade on Wednesday, taking its cues from global factors with no domestic data releases due.
At 0732 GMT, the rand traded at 18.7425 against the dollar, about 0.4% weaker than its previous close.
The dollar index was up about 0.05% against a basket of global currencies.
The rand had lost some ground on Tuesday as the US dollar rose after higher-than-expected US inflation data.
“Currencies taking advantage of lower US inflation expectations and interest rates were dealt a blow yesterday, and the result has been some consolidation by the trade-weighted USD,” said ETM Analytics in a research note.
South African rand edges lower against dollar
South Africa has no major data due until Thursday, when gold, mining and manufacturing production figures for January will be released.
On the stock market, the Top-40 index was down 0.13%, while the broader all-share was down 0.19% in early trade.
South Africa’s benchmark 2030 government bond was weaker, with the yield up 2.5 basis points to 10.190%.
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