South African rand weakens in early trade as dollar rallies
- The rand was trading at 14.8300, down 0.34% from Friday's close, and having lost up to 4.35% since Sept. 10
JOHANNESBURG: South Africa's rand weakened in early Monday trade after losing ground last week, as the dollar rallied even as investors stayed cautious ahead of a week packed with local and global economic indicators.
At 0625 GMT, the rand was trading at 14.8300, down 0.34% from Friday's close, and having lost up to 4.35% since Sept. 10.
The dollar climbed in early trade as investors turned risk averse amid concerns around debt-laden Chinese developer Evergrande's inability to pay part of its huge debt due on Thursday.
The Chinese developer's woes come in the midst of several regulatory crackdowns by Chinese authorities on digital companies, eroding investors' confidence in the world's second biggest economy and instilling fears around its prospects.
Investors will also be closely watching the South African Reserve Bank's monetary policy meeting on Sept. 23 to get a steer on where interest rates are headed in the continent's most advanced economy.
The market will also track local Consumer Price Index (CPI) numbers on Sept. 22 and the US Federal Reserve's policy meeting, due to end on Wednesday, for indications on when it will start tapering its bond purchase programme.
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