South Africa’s rand firms in early trade


JOHANNESBURG (Reuters) – South Africa’s rand firmed against the dollar in early trade on Monday, even though risk sentiment remained fragile as investors looked to the G20 meeting this week for signs of a thaw in the Sino-U.S. trade spat.

At 0621 GMT, the rand traded at 13.8150 per dollar, 0.31 percent firmer than its close on Friday.

Currency traders are looking to the upcoming G20 meeting in Buenos Aires on Nov. 30, where U.S. President Donald Trump and Chinese President Xi Jinping are expected to discuss contentious trade matters.

On the local front, the focus was on business and consumer confidence reports and October trade data due this week.

“While the rand is expected to remain under the 14.00 level, we can expect some pressure to the downside as sentiment swings in favour of the dollar and sterling,” said Bianca Botes, treasury manager at Peregrine Treasury Solutions.

In fixed income, yield on the benchmark government bond due in 2026 was down 4.5 basis points at 8.89 percent.

Reporting by Olivia Kumwenda-Mtambo; Editing by Subhranshu Sahu

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