South Africa's rand rallies ahead of expected GDP boost - CNBC Africa

South Africa's rand rallies ahead of expected GDP boost

Southern Africa

by Reuters 0

Rand 0.6 percent firmer at 14.2950 per dollar at 0650 GMT versus overnight close of 14.3800. Photo: Wikimedia.

South Africa's rand strengthened early on Tuesday, extending gains to a fourth consecutive session in thin trade after a holiday in the United States and ahead of local GDP data expected to show the economy avoided recession.

 

* Rand 0.6 percent firmer at 14.2950 per dollar at 0650 GMT versus overnight close of 14.3800.

* Government bonds also firmer. Yield on benchmark 2026 paper down 4 basis points to 8.81 percent.

* Q2 GDP release at 0930 GMT. Positive numbers would lift sentiment following 1.2 percent contraction in Q1.

* Political unease lingering with police position still unclear on possible arrest of Finance Minster Pravin Gordhan.

* Blue chip futures index up 0.2 percent, indicating bourse opening firmer at 0700 GMT.

 

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