South Africa’s rand retreated from one-week highs early on Thursday as investors booked profits and treaded cautiously ahead of a European Central Bank meeting expected to give clues on the duration of its trillion dollar bond-buying program.

* At 0650 GMT the rand traded 0.36 percent weaker at 13.8850 per dollar from its close at 13.8350 overnight.

* Rand remains poised to resume its rally after testing the 13.80 level seen before last week’s 4 percent collapse when the Finance Minister Pravin Gordhan was charged with fraud.

* Higher local CPI, weak retail sales data on Wednesday erased hopes of rate cuts by the SARB, and showed that growth concerns were still weighing on Africa’s most industrialised economy.

* Reserve Bank Governor Lesetja Kganyago is set to speak at business conference at 0700 GMT.

* Government bonds weaker in early trade, yield on 10-year benchmark adds 1 basis points to 8.79 percent.

* Blue chip futures index were up 0.22 percent indicating markets to open higher when trade starts at 0700 GMT.

Advertisement