South African rand weakens ahead of budget speech – Markets

JOHANNESBURG: South Africa’s rand edged lower on Tuesday against a buoyant dollar, ahead of a highly anticipated national budget speech.

At 1503 GMT, the rand traded at 18.4075 against the U.S. dollar, 0.15% weaker than its previous close.

The dollar last traded about 0.22% firmer against a basket of currencies.

Domestic investor attention will be on the national budget presentation by Finance Minister Enoch Godongwana on Wednesday.

Analysts anticipate the budget will focus on reforms, fiscal rules and private-sector inclusion.

South Africa’s official unemployment rate fell slightly in the fourth quarter of last year to 31.9%, helped by job gains in the finance and manufacturing sectors, statistics agency data earlier showed.

South African rand slips as markets await budget speech

On the Johannesburg Stock Exchange, the blue-chip Top-40 index closed about 0.9% higher.

South Africa’s benchmark 2030 government bond was marginally stronger, with the yield down 1.5 basis points to 9.125%.