South Africa's rand gains as dollar falls back, stocks flat
JOHANNESBURG, Oct 19 - South Africa's rand rose on Tuesday,
gaining back some ground lost a day earlier thanks to a softer
dollar, while stocks closed little changed as they struggled for
At 1526 GMT, the rand traded at 14.5345 against the
dollar, 1.0% stronger than its previous close.
The currency had dipped on Monday, dented by third quarter
economic data from China showing the slowest pace of growth in a
year, which prompted investors to sell riskier assets like the
However weak manufacturing data from the United States
knocked the dollar on Tuesday, along with a recovery in risk
sentiment and as U.S. Treasury yields paused, helping to lift
the rand back up.
"Following a tough first session to the new week, the ZAR
has recovered in overnight trade as the USD fell to the bottom
of its recent range amid improving risk appetite," ETM Analytics
said in a note.
Stocks were little changed, with the Johannesburg Stock
Exchange's All-Share index at 66,776 points, inching
down 0.02%, while the Top-40 Index edged down 0.05%.
A rally in technology shares failed to lift stocks as
resources weighed on the bourse. The resource index
fell 0.53%, led by miner Glencore down 4.1%.
This week the local data calendar is light, with the
September consumer price index on
Wednesday likely to attract most attention and give direction.
Government bonds strengthened, with the yield on the
instrument due in 2030 dropping 1 basis point to
(Reporting by Emma Rumney and Nqobile Dludla; Editing by
Kirsten Donovan and Angus MacSwan)
First Published: 2021-10-19 09:16:17
Updated 2021-10-19 17:54:02
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