South African rand firms ahead of manufacturing data

JOHANNESBURG: The South African rand gained in early trade on Tuesday, ahead of domestic manufacturing data for July.

At 0618 GMT the rand traded at 17.8350 against the dollar , about 0.2% firmer than its previous close.

Statistics South Africa is due to publish the country’s manufacturing production data for July at 1100 GMT.

Economists polled by Reuters predict the manufacturing sector will register year-on-year growth after declining in June, reflecting volatile conditions in a key sector of Africa’s most industrialised economy.

South African rand slips

The rand is also likely to take direction from dollar movements as markets await a U.S. inflation report on Wednesday for more clues about the size of a predicted Federal Reserve cut to interest rates next week.

South Africa’s benchmark 2030 government bond was firmer in early deals, with the yield slipping by 1 basis point to 9.01%.