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JOHANNESBURG: South Africa's rand retreated early on Tuesday, and local bonds fell amid subdued risk appetite.

The rand was 0.49 percent weaker at 14.2950 per dollar at 0645 GMT, having closed in New York at 14.2250.

The currency is expected to trade between 14.2000 and 14.4000 to the dollar on Tuesday, NKC African Economics wrote in a note.

The rand remained under pressure as new vehicle sales data for September showed a 1.9 percent decline on Monday, reflecting weak demand in the economy.

Investors are cautious following second-quarter gross domestic product data on Sept. 4 which showed the economy had entered a recession.

In fixed income, the yield on the benchmark government bond due in 2026 rose 4 basis points to 9.080 percent, reflecting weaker bond prices.

Stocks are due open weaker at 0700 GMT, with the JSE securities exchange's Top-40 futures index down 0.80 percent.

Copyright Reuters, 2018
 

 

 

 

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