South African Rand coins are seen in this illustration picture taken October 28, 2020. REUTERS/Mike Hutchings/Illustration Acquire Licensing Rights
JOHANNESBURG, Dec 4 (Reuters) – The South African rand was weaker in early trade on Monday against a stronger dollar ahead of a data-filled week both locally and abroad.
At 0705 GMT, the rand traded at 18.6800 against the dollar , about 0.3% weaker than its previous close.
The dollar last traded around 0.2% stronger against a basket of global currencies.
Local data releases include third-quarter gross domestic product, October and November business confidence index data and whole economy PMI.
Markets await employment data out of the U.S. on Friday for further hints on the interest rate path of the economic powerhouse after Federal Reserve Chair Jerome Powell last week said the Fed would move “carefully” on interest rates.
Like other risk-sensitive currencies, the rand often takes it cues from global drivers such as U.S. monetary policy.
On the Johannesburg Stock Exchange, the blue-chip Top-40 index (.JTOPI) was up about 0.3% in early trade.
South Africa’s benchmark 2030 government bond was slightly stronger in early deals, with the yield down 3 basis points at 9.950%.
Reporting by Tannur Anders, Editing by Bhargav Acharya and Louise Heavens
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