JOHANNESBURG: South Africa's rand gained ground on Tuesday, spurred by a globally hobbled dollar and a decision by South Africa's top court to consider whether a motion of no confidence against President Jacob Zuma should be taken by secret ballot.
Pressure has mounted on Zuma to resign after a controversial cabinet reshuffle triggered ratings downgrades, and the rand extended its gains to 1 percent against the dollar after the announcement. Opposition parties said the motion would be more likely to succeed if held by secret ballot.
In late trade, the rand was 1.10 percent higher at 13.8025 per dollar.
"Any political headline is going to be driving short-term moves in the currency," said BNP Paribas Cadiz Securities economist Jeffrey Schultz.
Stocks gained, led by shares of gold and platinum producers, as spot bullion jumped more than 1 percent. Investors were seeking assets considered havens from risk amid mounting political and security concerns over North Korea, the Middle East and an imminent French election.
Harmony Gold leapt 7.10 percent to 37.87 rand, making it the biggest gainer on the bourse. Anglo American Platinum advanced 5.52 percent to 371.85 rand and Goldfields rose 3.23 percent to 52.35 rand.
The benchmark Top-40 index rose 0.72 percent to 46,757.54 points. The All-Share index added 0.74 percent to 53,535.16 points.
Bonds firmed, with the yield for the benchmark government bond due in 2026 falling 4 basis points to 8.955 percent.
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