South African rand eases on global trade tensions
JOHANNESBURG, July 5, 2018,(AltAfrica) – South Africa’s rand was slightly weaker on Wednesday, hurt by global trade tensions which prompted losses in other emerging markets.
At 0820 GMT, the rand traded at 13.7200 versus the dollar, 0.35 percent weaker than its close on Tuesday.
The rand struck a seven-month low last week of 14 to the dollar but has since recovered some ground.
Disappointing local economic data has weighed on investors’ appetite for rand assets in recent weeks, along with friction between the United States and major trade partners over tariffs and investment restrictions. On the bourse, the Johannesburg Stock Exchange’s Top 40 index was down 0.6 percent at 0820 GMT, while the All-Share index was down 0.5 percent.
Government bonds were slightly stronger. The yield on the benchmark instrument due in 2026 fell 5 basis points to 8.79 percent.