JOHANNESBURG: South Africa’s rand firmed in early trade on Friday ahead of a day packed with local economic data, which analysts said could influence the currency in the coming weeks.
The rand traded at 18.0625 against the dollar by 0636 GMT, about 0.3% stronger than its previous close.
“The ZAR is looking to close out the week similarly to how it started, namely with a slight appreciative undercurrent.
Plenty of data scheduled for today will have some bearing on the ZAR’s performance in the coming weeks,“ said ETM Analytics in a research note.
South Africa’s M3 money supply growth last month was at 7.79%, up from 7.25% in September. Credit growth for October came in at 4.26%, from 4.63% in the previous month, central bank data showed on Friday.
South African rand stable ahead of producer inflation data and central bank review
The money supply figures offer insights into consumer demand strength, which could influence the October trade balance set for release later in the day, the note said.
Investor focus in South Africa will also be the budget balance for October.
South Africa’s benchmark 2030 government bond was stronger in early deals, with the yield down 3.5 basis points to 8.935%.
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