The Johannesburg All-Share index eased, with financials, telecoms and energy shares making modest gains but not quite offsetting losses in Steinhoff and gold shares.

At 1553 GMT, the rand traded at 13.4825 per dollar, 1.43 percent firmer than its New York close on Tuesday.

The dollar weakened after US consumer price data showed sluggish inflation, adding to concerns the Fed will be less able to execute multiple rate increases next year. The Fed will announce its decision on rates at 1900 GMT.

Locally, investors' focus remained on the ANC conference where the party will crown a new leader to succeed President Jacob Zuma, who can remain president of the country until 2019.

"There won't be anyone wanting to hold any type of position going into this weekend. Investors, offshore and locally won't be keen on holding anything substantial so its likely to be a wait-and-see until next week," said Standard Bank forex trader Oliver Alwar.

In fixed income, the yield for the benchmark government bond due in 2026 fell 6 basis points to 9.215 percent, reflecting stronger bond prices.

On the bourse, the benchmark Top-40 index and the All-share index declined 0.31 percent to 51,151 points and 57,344 points respectively.

Steinhoff led the decliners, tumbling 16.67 percent at 9.80 rand.

The multinational retail group's share price has plunged since announcing last week that its chief executive had quit and that it had found problems with its accounts which has delayed the reporting of its financial results.

AngloGold Ashanti declined 2.12 percent to 121.37 rand, Gold Fields weakened 1.81 percent to 49.90 rand, while Harmony Gold fell 1.78 percent to 22.10 rand.

Gold prices held near their lowest in nearly five months as investors looked ahead to an expected US interest rate increase.

Gold is sensitive to rising rates because they push up bond yields, reducing the appeal of non-yielding gold.