<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-820x461.jpg" alt="" class="wp-image-400641" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-820x461.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-300x169.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-768x432.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-1536x864.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A collection of mixed denomination South African rand coins sit in an arranged photo in Johannesburg, South Africa, on Thursday, June 22, 2017. South Africas inflation rate rose for the first time this year in May after food-price growth quickened from the slowest pace since December 2015. Photographer: Waldo Swiegers/Bloomberg via Getty Images</figcaption></figure>



JOHANNESBURG, May 7 (Reuters)&nbsp;&#8211;&nbsp;The South African rand slipped on Wednesday as investors took profits after a strong run against the dollar.



At 1230 GMT, the rand traded at 18.2825 to the U.S. currency, down about 0.5% on Tuesday&#8217;s closing level.



The rand had strengthened for the previous four trading sessions.



Andre Cilliers, currency strategist at TreasuryONE, said traders were trimming long rand positions ahead of the U.S. Federal Reserve&#8217;s interest rate announcement later in the day.



The Fed is widely expected to keep rates steady, amid concerns over an economic slowdown caused by U.S. President Donald Trump&#8217;s tariffs.



News that U.S. and Chinese officials are due to hold talks this weekend soothed financial markets as it could be the first step towards resolving a trade war that has disrupted the global economy.



No major South African economic data releases are expected on Wednesday.



President Cyril Ramaphosa will launch the second phase of an economic reform drive aimed at lifting the country&#8217;s potential growth rate.



Thursday&#8217;s local data releases include manufacturing and foreign reserves data.



The Johannesburg Stock Exchange&#8217;s Top-40 index last traded down 0.3%. The benchmark 2030 government bond was flat, the yield at 8.92%.



(Reporting by Sfundo Parakozov and Alexander Winning; editing by Barbara Lewis)

South African Economy As Inflation Rate Rises For First Time In 2017

South African rand slips after strong run

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="487" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg" alt="" class="wp-image-568119" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, File. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, May 7 (Reuters)&nbsp;&#8211;&nbsp;The South African rand was little changed in early trade on Wednesday, as global investors focused on an interest rate decision by the U.S. Federal Reserve later in the day.



At 0650 GMT, the rand traded at 18.22 against the dollar compared with Tuesday&#8217;s closing level of 18.19.



The Fed is widely expected to keep rates steady, amid concerns over an economic slowdown due to U.S. President Donald Trump&#8217;s tariffs.



News that U.S. and Chinese officials are due to hold talks eased concerns about a trade war that have shaken investor confidence in the dollar and U.S. markets.



No major South African economic data releases are expected on Wednesday.



President Cyril Ramaphosa will launch the second phase of an economic reform drive aimed at lifting the country&#8217;s potential growth rate.



Thursday&#8217;s data releases include local manufacturing and foreign reserves data.



South Africa&#8217;s benchmark 2030 government bond was flat, the yield at 8.92%.



(Reporting by Sfundo Parakozov; Editing by Alexander Winning)

rand2 (1)

South African rand flat with global focus on US rate decision

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="571" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-820x571.jpg" alt="" class="wp-image-520727" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-820x571.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-300x209.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-129x90.jpg 129w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-768x535.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-1536x1070.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/74DO2Y3SI5LEZMM4PGBAROP3NY-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Absa Group logo is seen on a smartphone in front of displayed same logo in this illustration taken, December 1, 2021. REUTERS/Dado Ruvic/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, May 7 (Reuters) &#8211; South Africa&#8217;s Absa Group announced on Wednesday that Sello Moloko will step down as chairman of the bank on July 15 to make way for new leadership, and René van Wyk will succeed him, subject to regulatory approval.



Moloko said he had decided to quit after the board &#8220;dealt with several challenges in 2024&#8221;, appointed a new chief executive and launched a restructure of Absa&#8217;s retail model.



&#8220;I feel the time is ripe now for me to refocus my attention on my family, my community commitments and the several personal business initiatives outside the Group that I need to drive,&#8221; he added.



Van Wyk was interim group Chief Executive Officer in 2019 and rejoined the Absa board as a non-executive director in 2020.



&#8220;The organisation is well-positioned to advance its strategic priorities, and I look forward to contributing to its growth and success, alongside a strong management team,&#8221; Van Wyk said.



(Reporting by Nqobile Dludla; Editing by Sonali Paul)

Illustration shows a smartphone with displayed Absa Group logo

South Africa’s Absa Group Chair Sello Moloko to step down in July

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-820x547.jpg" alt="" class="wp-image-617890" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/GettyImages-2014346564-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A supporter holds a banner reading &#8216;Rescue SA Vote DA&#8217; at a march to the Union Buildings during the Democratic Alliance party manifesto launch in Pretoria, South Africa, on Saturday, Feb. 17, 2024. South Africa&#8217;s ruling party looks set to lose its outright majority in national elections for the first time since 1994, while support for the populist Economic Freedom Fighters may rise, an Ipsos poll found. Photographer: Waldo Swiegers/Bloomberg via Getty Images</figcaption></figure>



JOHANNESBURG, May 6 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s Democratic Alliance party went to court on Tuesday to challenge new employment equity legislation which sets out numerical targets for the number of non-white people that companies should employ.



The pro-business DA, the second-biggest party in government, says the new law violates anti-discrimination clauses in the constitution and gives the state too much regulatory power.



Its larger coalition partner, the African National Congress, says the DA is trying to &#8220;preserve the apartheid-era economic status quo&#8221; and thwart its efforts to correct racial imbalances in the workplace that are apartheid&#8217;s legacy.



Statistics show that South Africa&#8217;s companies are still dominated by white people at the top, with Black employees mainly occupying lower-level roles. Unemployment is much higher among Black citizens.



Lawyers for the two sides made their opening arguments on Tuesday at the North Gauteng High Court in Pretoria.



&#8220;This case is about flexibility,&#8221; said DA lawyer Ismail Jamie in court, adding that it is fine to set aspirational targets but not ones &#8220;so rigid that they constitute a quota&#8221;, which he claimed the new ones do.



Race remains a highly charged topic in South Africa three decades after the end of white minority rule. The DA&#8217;s national leader is white and the party has a reputation for defending the interests of the white minority, which it denies.



The Employment Equity Amendment Act, which took effect this year, updates a 1998 act that required employers to set diversity targets and report on their progress in meeting them.



It is separate from an existing Black economic empowerment law which many critics say hasn&#8217;t worked. That policy also sets targets for the number of Black people at management level, but firms can avoid it by earning points in other categories such as ownership or skills development. There is no penalty for non-compliance.



<h2 class="wp-block-heading" id="h-targets">TARGETS</h2>



Under the new law, companies with more than 50 employees must meet sectoral targets for the number of non-white people, women and disabled people in skilled and senior roles, or justify their failure to do so. Firms that do not comply could lose government contracts and be fined.



&#8220;If we continue the way that we are, we&#8217;re never going to see the transformation that is required because people&#8230; will never get to top management,&#8221; said Muriel Mushariwa, a law lecturer at the University of the Witwatersrand and an employment equity consultant.



She added, however, that it could be difficult for companies to comply with the new equity law and the Black empowerment programme, whose targets are broken down into different categories and not aligned.



The DA says it supports redress but sees job creation as the primary solution.



(Additional reporting by Thando Hlophe; Reporting by Nellie Peyton and Siyanda Mthethwa; Editing by Tim Cocks and Gareth Jones)

South Africa’s Democratic Alliance Party Election Manifesto Launch

South Africa’s DA party challenges new racial equity law in court

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="507" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-820x507.jpg" alt="" class="wp-image-533970" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-820x507.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-300x186.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-145x90.jpg 145w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-768x475.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-1536x950.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South African bank notes featuring images of former South African President Nelson Mandela (R) are displayed next to the American dollar notes in this photo illustration in Johannesburg August 13 2014. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, May 6 (Reuters) &#8211; The South African rand held steadyfor much of Tuesday&#8217;s trading session after the release of a purchasing managers&#8217; index (PMI) survey that showed the country&#8217;s private sector showed signs of stabilisation in April.



At 1340 GMT, the rand traded at 18.25 against the dollar, little changed from Monday&#8217;s close.



The rand gained roughly 1% against a weaker dollar on Monday, after utility Eskom said it was optimistic about the power outlook over the next four months, aiming for no electricity cuts.



The dollar =USD last traded about 0.4% weaker against a basket of currencies as investors worried about U.S. President Donald Trump&#8217;s latest tariff threats. On Wednesday the global investor focus will shift to the Federal Reserve&#8217;s policy decision.



The S&amp;P Global South Africa PMI rose to the neutral 50-point mark in April, emerging from a four-month downturn as sales picked up slightly.



That was an improvement on last week&#8217;s local manufacturing PMI, which slumped further into contractionary territory.



On the Johannesburg Stock Exchange, the Top-40 index last traded 0.4% lower. The benchmark 2030 government bond slipped, as the yield rose 6.5 basis points to 8.93%.



(Reporting by Sfundo Parakozov; Editing by Alexander Winning and Franklin Paul)

Photo illustration of South African bank notes displayed next to the American dollar notes in Johannesburg

South African rand steady as PMI hits neutral mark

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="463" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/2PLENK7UEVP6LHO27XU5VACMUU.avif" alt="" class="wp-image-590509"/><figcaption class="wp-element-caption">South African Rand coins are seen in this illustration picture taken October 30, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, May 6 (Reuters)&nbsp;&#8211;&nbsp;The South African rand was stable in early trade on Tuesday ahead of the release of a purchasing managers&#8217; index (PMI) survey.



At 0655 GMT, the rand traded at 18.2750 against the dollar, little changed from Monday&#8217;s close of 18.2650.



The currency gained roughly 1% against a weaker dollar on Monday, after state utility Eskom said it was optimistic about the power outlook over the southern hemisphere winter, aiming for no electricity cuts in the next four months.



Investors will look to the S&amp;P Global April whole-economy PMI at 0715 GMT for a window on business conditions in Africa&#8217;s biggest economy.



Last week a gauge of local manufacturing sentiment dropped sharply in April, with survey respondents citing uncertainty linked to global trade tensions and local politics.



South Africa&#8217;s benchmark 2030 government bond was also little changed in early deals, with the yield up 1 basis point at 8.875%.



(Reporting by Sfundo Parakozov; Editing by Alexander Winning)

2PLENK7UEVP6LHO27XU5VACMUU

South African rand stable before PMI data

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3216" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/LC3HNESUZFNFZJPY4WR2ZAA2BI.avif" alt="" class="wp-image-617773"/><figcaption class="wp-element-caption">Electricity lights up the central business district of Cape Town, South Africa, June 18, 2019. REUTERS/Mike Hutchings/File Photo</figcaption></figure>



JOHANNESBURG, May 6 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s private sector showed signs of stabilisation in April, emerging from a four-month downturn as sales picked up slightly and supply chains strengthened, a survey showed on Tuesday.



The S&amp;P Global South Africa Purchasing Managers&#8217; Index (PMI) rose to 50.0 in April, up from 48.3 in March. A PMI reading above 50 indicates growth, while below 50 points to a contraction.



This marks the first time since November 2024 that the index has reached the neutral mark, signalling a mild recovery in business conditions.



New orders, output and employment all moved into growth territory, albeit at a modest pace. New orders increased for the first time in five months, driven by larger client orders and successful marketing campaigns, although economic uncertainty continued to weigh on customer spending.



Supply chains improved notably, with suppliers&#8217; delivery times shortening for the first time since June 2023, aided by eased port congestion at Durban. This led to a modest rise in purchasing activity, the first in four months, as firms sought to replenish their inventories.



However, input price pressures intensified sharply, reaching an eight-month high, largely due to a weakening rand against the U.S. dollar.



&#8220;Volatility in the rand especially during the first half of April made its mark on prices,&#8221; said David Owen, senior economist at S&amp;P Global Market Intelligence.



Despite the better trends in activity, optimism for the year ahead dipped, with firms expressing concerns over domestic and international politics, Owen added.



(Reporting by Johannesburg newsroom; Editing by Toby Chopra)

LC3HNESUZFNFZJPY4WR2ZAA2BI

South African business activity stabilises as PMI hits neutral mark

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3334" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/EVFY2VMEMRMSJOTLJGNLZRU6IQ.avif" alt="" class="wp-image-617425"/><figcaption class="wp-element-caption">Eskom CEO Dan Marokane speaks to Reuters at the Eskom Head Office, in Johannesburg, South Africa June 28, 2024. REUTERS/Lelethu Madikane/File Photo</figcaption></figure>



JOHANNESBURG, May 5 (Reuters)&nbsp;&#8211;&nbsp;South African state utility Eskom said on Monday that it was optimistic about the power outlook over the southern hemisphere winter, aiming for no electricity cuts in the next four months if breakdowns stay around current levels.



Eskom&#8217;s difficulties supplying power to Africa&#8217;s biggest economy have curbed economic growth for more than a decade, but a turnaround in its plant performance last year saw no cuts for nine months, including throughout winter.



Chief Executive Dan Marokane told a briefing that Eskom expected there to be no electricity cuts until the end of August if unplanned outages remain below 13,000 megawatts, its base case.



If outages increase to 14,000 MW there would be one day of outages till the end of August, rising to 21 days if unplanned outages reach 15,000 MW.



Eskom had a nominal generating capacity of over 46,000 MW as of March 2024, mostly comprising coal plants, but it also operates a nuclear power station and some smaller plants that burn diesel or use water to generate electricity.



Marokane said the power system was in a more reliable position than in recent years.



He called the 14 days of power cuts in January-April this year a temporary setback and maintained electricity availability was improving.



Marokane added: &#8220;This year&#8217;s winter outlook prediction is built on an improvement in operational performance and overall efficiency.&#8221;



(Reporting by Sfundo Parakozov. Editing by Alexander Winning and Mark Potter)

EVFY2VMEMRMSJOTLJGNLZRU6IQ

South Africa’s Eskom aiming for no power cuts for next four months

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3321" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/5VNK2O52JZOARFRKCDAQ4WIGEU.avif" alt="" class="wp-image-609376"/><figcaption class="wp-element-caption">A small toy figure and gold imitation are seen in front of the Gold Fields logo in this illustration taken November 19, 2021. REUTERS/Dado Ruvic/Illustration/File Photo</figcaption></figure>



MELBOURNE, May 5 (Reuters) &#8211; South Africa&#8217;s Gold Fields will acquire Gold Road Resources in a sweetened deal valuing the Australian miner&#8217;s equity at A$3.7 billion ($2.4 billion), as sky-high bullion prices drive a wave of tie-ups.



Gold Road&#8217;s shares rallied as much as 12% on the offer, which was pitched at a 14.5% premium to the company&#8217;s last closing price.



The buyout, announced on Monday by both companies, will allow Gold Fields to consolidate ownership over the low-cost, long-life Gruyere gold mine in Western Australia, which it operates under a joint venture with Gold Road.



It is the third notable deal in six months in the sector that is one of the hottest spots globally for mergers and acquisitions, as rising geopolitical uncertainties power a record rally in the yellow metal.



Australian gold miner Northern Star Resources agreed to buy De Grey Mining in an all-share deal worth A$5 billion, while Ramelius Resources said it would take over smaller peer Spartan Resources to build a combined A$4.2 billion group.



The strong gold price and Australia&#8217;s relatively weaker dollar have made Australian gold producers particularly attractive, said one investment banker.



Bellevue Gold, with a A$1.3 billion market capitalisation, is expected to be the next to follow suit after it last month hired UBS to conduct a review of its business.



<h2 class="wp-block-heading" id="h-looking-out-for-good-opportunities">LOOKING OUT FOR GOOD OPPORTUNITIES</h2>



Asked if Gold Fields was interested in Bellevue Gold, Gold Fields CEO Mike Fraser said the company continued to look at opportunities to strengthen its portfolio. Gold Fields operates the Agnew mine not far from Bellevue&#8217;s own project.



&#8220;Given what we have just announced today, I think our focus in the coming months will be on that, but we continue to look out for good opportunities to improve our portfolio,&#8221; he told reporters on a conference call.



Fraser told Reuters in an interview that the gold sector was likely to see more transactions with larger miners acquiring smaller, single asset companies despite relatively high valuations due to the gold price rally.



&#8220;If you believe the outlook for gold, I still think that gold equities are relatively well priced on a value basis and therefore it wouldn’t surprise me to see more transactions emerge,&#8221; he said.



He added that the Gold Road acquisition would give Gold Fields access to a huge land package that is currently not consolidated in the Gruyere joint venture, with potential to lift output and extend mine life.



Under the terms announced on Monday, Gold Road shareholders will receive a fixed cash consideration of A$2.52 per share and a variable cash component equal to the full value of each shareholder&#8217;s stake in Northern Star Resources.



That was up from Gold Fields&#8217; offer in March of A$2.27 cash per share plus the variable cash component which Gold Road rejected as &#8220;highly opportunistic&#8221;.



As of Friday&#8217;s close, the deal equates to A$3.40 per Gold Road share.



Goldman Sachs and Gresham acted for Gold Road, while JPMorgan acted for Gold Fields.



($1 = 1.5504 Australian dollars)



(Reporting by Himanshi Akhand in Bengaluru, Melanie Burton in Melbourne and Nelson Banya in Harare; Editing by Kim Coghill, Sonali Paul and Emelia Sithole-Matarise)

5VNK2O52JZOARFRKCDAQ4WIGEU

South Africa’s Gold Fields to buy Australia’s Gold Road for $2.4 billion

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="425" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/FN6SHZMGJVMXJICANZS4G326BA.avif" alt="" class="wp-image-616284"/><figcaption class="wp-element-caption">A general view shows the Tetra Pak factory floor in Durban, South Africa, April 4, 2024. REUTERS/Rogan Ward/File Photo</figcaption></figure>



JOHANNESBURG, May 2 (Reuters)&nbsp;&#8211;&nbsp;A gauge of South African manufacturing sentiment dropped sharply in April, with survey respondents citing uncertainty linked to global trade tensions and local politics.



The seasonally-adjusted Purchasing Managers&#8217; Index (PMI) sponsored by South African bank Absa declined to 44.7 points in April from 48.7 in March.



It was the sixth straight month that the headline PMI has been below 50, reflecting a contraction in activity.



U.S. President Donald Trump&#8217;s April 2 &#8220;Liberation Day&#8221; tariff announcement ushered in sweeping duties on most imports to the United States, sparking a trade war with China and uncertainty for companies worldwide.



Trump later paused most of the steepest tariffs for 90 days, but economists say many businesses have been left in a state of paralysis.



In South Africa months of wrangling over the budget culminated in the finance minister scrapping a planned increase in value-added tax (VAT), meaning he will have to present a new budget next month.



&#8220;Global tariff developments and local political uncertainty because of the VAT saga and open disagreements within the government likely weighed on sentiment,&#8221; Absa said in a statement.



Other local factors dampening the mood included excessive rains and the return of scheduled power cuts.



(Reporting by Sfundo Parakozov; Editing by Alexander Winning)

FN6SHZMGJVMXJICANZS4G326BA

South African factory mood sours sharply in April, Absa PMI shows

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-616234" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/istockphoto-1076949610-612x612-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/05/istockphoto-1076949610-612x612-1-135x90.jpg 135w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">Double exposure of coin stack with city background and world map, financial graph, world map and global network business concept idea, element by NASA.</figcaption></figure>



JOHANNESBURG, May 2 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Friday.



ECONOMIC EVENTS



Manufacturing-sector purchasing managers&#8217; index



Inflation-linked bond auction



April vehicle sales&nbsp;ZAVEHY=ECI



GLOBAL MARKETS



Asian stock markets and U.S. futures rose on Friday as signs of possible trade talks between the U.S. and China lifted risk sentiment after lacklustre earnings from tech bellwethers Apple and Amazon fuelled worries about the impact of tariffs. MKTS/GLOB



WALL STREET



U.S. stocks advanced on Thursday, with the Dow and S&amp;P 500 posting their eighth straight session of gains after strong results from megacaps Microsoft and Meta eased concerns about artificial intelligence spending. 



GOLD



Gold gained on Friday as investors rushed to buy the metal a day after its prices hit a two-week low amid receding trade tensions, while the market&#8217;s focus shifted to the U.S. non-farm payrolls report due later in the day. 



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



BUSINESS DAY



&#8211; Trump&#8217;s about-turn on car component tariffs fuels uncertainty



&#8211; De Beers the elephant in the room as Anglo lets Amplats loose



FIN 24



&#8211; SA seeking to develop its own nuclear fuel in the next decade



(Compiled by Sfundo Parakozov)

istockphoto-1076949610-612×612-1

South African Markets – Factors to watch on May 2

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="423" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/05/B6IT6UX6YZL43P46QXVFCGWBZA.avif" alt="" class="wp-image-616228"/><figcaption class="wp-element-caption">A South African Rand is seen in this illustration picture taken October 30, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, May 2 (Reuters)&nbsp;&#8211;&nbsp;The South African rand firmed in early trade on Friday, ahead of the release of a purchasing managers&#8217; index (PMI) survey for the local manufacturing sector.



At 0633 GMT, the rand was trading at 18.4375 against the dollar&nbsp;ZAR=D3, up roughly 0.5% on Thursday&#8217;s closing level.



The dollar index&nbsp;=USD&nbsp;was down about 0.3% on global markets, as investors awaited the U.S. non-farm payrolls report for an indication of when the Federal Reserve will resume cutting interest rates.



Rand traders are looking to South Africa&#8217;s April manufacturing PMI due for release around 0900 GMT to shed light on business conditions in Africa&#8217;s most industrialised economy.



The PMI has been in contractionary territory for the past five months, weighed down by strained South Africa-U.S. relations, power cuts and logistics bottlenecks.



April vehicle sales&nbsp;ZAVEHY=ECI&nbsp;figures are also expected around 1200 GMT.



South Africa&#8217;s benchmark 2030 government bond&nbsp;ZAR2030=&nbsp;was marginally stronger in early deals, with the yield down 2.5 basis points at 8.795%.



(Reporting by Sfundo Parakozov; Editing by Alexander Winning and Emelia Sithole-Matarise)

B6IT6UX6YZL43P46QXVFCGWBZA

South African rand firms before local manufacturing PMI

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="390" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/Z7OUSBHECZMJVEHQT7G2AZVSQU-1.avif" alt="" class="wp-image-615600"/><figcaption class="wp-element-caption">South African Rand coins are seen in this illustration picture taken October 28, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, April 30 (Reuters)&nbsp;&#8211;&nbsp;The South African rand slipped&nbsp;on&nbsp;Wednesday&nbsp;following mixed local economic data and&nbsp;as the dollar gained after data showed the U.S. economy contracted in the first quarter.



At&nbsp;1329 GMT, the rand traded at 18.62 against&nbsp;the dollar&nbsp;ZAR=D3, roughly 0.4% weaker than Tuesday&#8217;s closing level.



Domestic data showed South Africa recorded a trade surplus of 24.77 billion rand ($1.33 billion) in March, while the budget deficit stood at 13.11 billion rand in the same month.



The dollar=USD was last trading up about 0.25% against a basket of currencies, after a Commerce Department report showed U.S. gross domestic product (GDP) fell 0.3% in the first quarter.



The data was worse than market expectations, but better than the dire predictions touted by some of the biggest U.S. banks.



Earlier on Wednesday, South African Finance Minister Enoch Godongwana briefed reporters on the next steps for the local budget after he scrapped a fiercely-opposed increase in value-added tax and a court set aside parliament&#8217;s adoption of the fiscal framework.



He said a new budget would be presented on May 21, which would maintain a government focus on stabilising public debt.



Separately, central&nbsp;bank data showed private sector credit extension slowed slightly in March&nbsp;ZACRED=ECI&nbsp;to 3.45% year-on-year from 3.68% in February.



On the stock market, the Top-40&nbsp;.JTOPI&nbsp;index was last trading about 0.3% higher.



The benchmark 2030 government bond&nbsp;ZAR2030=&nbsp;was&nbsp;little changed,&nbsp;with the yield&nbsp;up 0.5 basis point at&nbsp;8.815%.



(Reporting by Sfundo Parakozov and Bhargav Acharya; Editing by Alexander Winning, Sharon Singleton and Mark Heinrich)

Z7OUSBHECZMJVEHQT7G2AZVSQU

South Africa’s rand weakens after mixed local data, US GDP dip

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="427" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/3GWHJ24G6BNGHDPVWY36IOPFFQ.avif" alt="" class="wp-image-615524"/><figcaption class="wp-element-caption">South Africa&#8217;s Finance Minister Enoch Godongwana speaks during his 2023 budget speech in Cape Town, South Africa, February 22, 2023. REUTERS/Shelley Christians/File Photo</figcaption></figure>



PRETORIA, April 30 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s finance ministry said on Wednesday that a new budget would be presented on May 21 which would maintain the government&#8217;s focus on stabilising public debt.



Africa&#8217;s biggest economy will adjust revenue and spending projections and growth forecasts after scrapping a contentious increase in value added tax that exposed deep rifts in the coalition government.



Finance Minister Enoch Godongwana&nbsp;said there would be thorough consultations with all political parties in the coalition before the revised budget is tabled in parliament, adding that fiscal consolidation was still in place.



His ministry issued a statement saying that debt stabilisation was &#8220;a crucial element in strengthening our public finances&#8221;.



Months of political wrangling over this year&#8217;s budget has caused investor unease, hurting the rand currency&nbsp;ZAR=D3.



The budget was postponed in February because of disagreements in the coalition over a plan to increase VAT from 15% to 17%.



A revised version in March proposed raising VAT by 1 percentage point over two years, but that plan was also deeply unpopular.



The Democratic Alliance, the second-biggest party in the Government of National Unity coalition, took the budget to court before agreeing an out-of-court settlement with the finance minister.



Godongwana acknowledged on Wednesday that the budget process had been messy.



&#8220;We are in a coalition government and we have to do things differently,&#8221; he said.



(Additional reporting by Bhargav Acharya and Sfundo Parakozov; Writing by Alexander Winning; Editing by Ed Osmond)

3GWHJ24G6BNGHDPVWY36IOPFFQ

South Africa says revised budget will keep focus on stabilising debt

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="370" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/I626AAIJRJP7DJDRYXCYV56KLA-2.avif" alt="" class="wp-image-615457"/><figcaption class="wp-element-caption">The Hillbrow Tower, an iconic tower used to identify the Johannesburg skyline, is seen as the sun rises, in Johannesburg, South Africa, June 20, 2019. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, April 30 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Wednesday.



ECONOMIC EVENTS



March money supply&nbsp;ZAM3=ECI, credit data&nbsp;ZACRED=ECI



March budget balance&nbsp;ZABUD=ECI



March trade balance&nbsp;ZATBAL=ECI



Treasury to hold press briefing on budget process



SOUTH AFRICAN MARKETS



The South African rand weakened on Tuesday as investors waited for the finance minister to say when he will present another revised national budget.



On the stock market, the Top-40 .JTOPI index was last up about 0.7%. 



GLOBAL MARKETS



Shares struggled for direction on Wednesday and oil prices slid as relief over a potential easing of global trade tensions was offset by a worsening economic outlook and dour signals from corporates swept up by Donald Trump&#8217;s tariffs.



WALL STREET



U.S. stocks closed solidly in positive territory on Tuesday, after seesawing between modest gains and losses in choppy trading as investors assessed the latest round of corporate earnings, economic data and changes on the trade policy front.



GOLD



Gold prices dropped on Wednesday, pressured by a firmer dollar and a de-escalation in trade tensions, while investors awaited key U.S. data for cues on the Federal Reserve&#8217;s rate outlook. 



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



BUSINESS DAY



&#8211; Moody&#8217;s sees further squeeze on SA banks&#8217; interest margin



FIN 24



&#8211; Godongwana&#8217;s fresh blueprint to plug a deeper revenue hole



(Compiled by Sfundo Parakozov)

I626AAIJRJP7DJDRYXCYV56KLA

South African Markets – Factors to watch on April 30

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="487" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg" alt="" class="wp-image-568119" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, File. REUTERS/Siphiwe Sibeko</figcaption></figure>



&nbsp;April 29 (Reuters)&nbsp;&#8211;&nbsp;The South African rand weakened slightly in early trade on Tuesday as investors waited for the finance minister to say when he will present another revised national budget.



Finance Minister Enoch Godongwana has to make further adjustments after scrapping&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N3R12UQ&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">a contentious hike</a>&nbsp;in value-added tax (VAT) that was fiercely opposed across the political spectrum.



The high court on Sunday issued an order suspending the VAT hike and setting aside the adoption of the fiscal framework, paving the way for Godongwana to table new budget instruments in parliament.



At 0741 GMT, the rand traded at 18.57 against the dollar&nbsp;ZAR=D3, down 0.43% on its previous close.



Wrangling over the 2025 budget has been the biggest test yet of the Government of National Unity coalition formed last year when the African National Congress lost its parliamentary majority in an election.



Godongwana initially proposed a two percentage-point hike in VAT in a February budget that was&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AS8N3OJ0E4&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">postponed at the last minute</a>&nbsp;because of disagreements in the coalition.



He watered that down to a one point VAT increase spread over two years in an amended March budget, but most political parties continued to reject the plan and last week Godongwana caved to pressure to withdraw it.



No major domestic economic data releases are expected on Tuesday, but on Wednesday March credit extension&nbsp;ZACRED=ECI, budget&nbsp;ZABUDM=ECI&nbsp;and trade&nbsp;ZATBAL=ECI&nbsp;figures are scheduled for release.



The benchmark 2030 government bond&nbsp;ZAR2030=&nbsp;was marginally stronger in early deals, as the yield fell 5 basis points to 8.815%.

South African rand slips as investors wait for another revised budget

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="487" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg" alt="" class="wp-image-568119" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, File. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, April 25 (Reuters) &#8211; South Africa&#8217;s rand was steady on Friday as investors awaited clarity on a disputed national budget which has roiled domestic markets.



At 1236 GMT, the rand traded at 18.8125 against the dollar, near its Wednesday closing level of 18.81.



South Africa&#8217;s biggest political parties have clashed over a proposal to raise the value-added tax rate by 1 percentage point over the next two years.



The VAT increase was withdrawn on Thursday and domestic-focused investors are awaiting details on the next steps in the budget process.



&#8220;The scrapping of the VAT increase and the subsequent questions on where Treasury is going to find the shortfall in the budget has put the rand under some renewed pressure,&#8221; said Andre Cilliers, currency strategist at TreasuryONE.



Like other risk-sensitive currencies, the rand often takes its cue from global factors and domestic drivers.



In addition to the budget dispute, the rand has experienced bouts of volatility linked to uncertainty over U.S. President Donald Trump&#8217;s tariff plans.



South Africa&#8217;s President Cyril Ramaphosa said on Thursday he had spoken to Trump and discussed fostering good relations between the two countries, which have soured since Trump took office in January.



On the stock market, both the Top-40 index and the broader all-share index were last trading about 0.7% higher.



South Africa&#8217;s benchmark 2030 government bond was also stronger, with the yield down 4 basis points at 8.83%.



(Reporting by Tannur Anders, Sfundo Parakozov and Bhargav Acharya; Editing by Jacqueline Wong and Susan Fenton)

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