Rand steadies

South Africa's rand steadied on Tuesday as the prospect of rolling blackouts and downbeat economic data offset expectations that a dovish tone at this week's US Federal Reserve policy meeting could lift emerging market assets. At 1637 GMT, the rand traded at 14.4425 per dollar, 0.02 percent weaker than its New York close on Monday. Stocks meanwhile rose, with the Johannesburg All-Share index up 0.14 percent to 56,849 points, while the Top-40 Index firmed 0.17 percent to 50,475 points.
"A dovish Fed will trigger a risk-on rally for risk assets. But the rand's gains will be curbed by rolling blackouts and sales data that is likely to disappoint," RMB analyst Mpho Tsebe said in a note. Caution prevailed among investors as South Africa's power utility said it would continue implementing power cuts on a rotational basis as it struggles with generating capacity shortages.