Sweet Crude Reports

S/African rand edges higher ahead of mining, manufacturing data

*A street money changer counts South African Rands in Harare, Zimbabwe, File. REUTERS/Philimon Bulawayo

Johannesburg — The South African rand edged up in early trade on Tuesday, ahead of the release of mining and manufacturing data later in the day.

At 0625 GMT, the rand traded at 18.2000 against the dollar, more than 0.1% firmer than its closing level on Monday.

Statistics South Africa will publish January mining output (ZAMNG=ECI) around 0930 GMT, and January factory production (ZAMAN=ECI) is due at 1100 GMT.

Economists polled by Reuters are predicting a 2.65% contraction in annual terms in mining, and a 5.1% fall in manufacturing. That compares to a 3.5% contraction in mining in December and a 4.7% fall in manufacturing in December.

The rand rallied on Monday as the dollar fell sharply on expectations that the largest U.S. bank failure since the 2008 financial crisis would prompt the Federal Reserve to slow the pace of its interest rate hikes.

On Tuesday, the dollar still languished near a multi-week low.

South Africa’s benchmark 2030 government bond was also slightly firmer in early deals, with the yield falling 1.5 basis points to 10.010%.

*Alexander Winning; Editing: Rashmi Aich – Reuters


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