JOHANNESBURG: South Africa's rand strengthened to near its firmest level this year on Monday as expectations that the US will hold off hiking interest rates helped support emerging market currencies.
By 0620 GMT the rand firmed 0.1 percent to 11.4800.
Local bonds maintained their safe-haven appeal, with the benchmark government paper due in 2026 shedding 8 basis points in early trade to 7.57 percent to a fresh 6-week.
Data from the Johannesburg securities showed foreign investors bought more than $700 million worth of South African bonds in the past week.
Numbers on Friday showing a fall in US average wages pushed back market predictions that the US Federal Reserve would hike interest rates by mid-2015, with some investors opting to remain in high yield developing economy assets.
In local data, South Africa's statistics office publishes manufacturing output data for November at 1100 GMT.
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