South Africa's rand weakens

File picture: Waldo Swiegers, Bloomberg

File picture: Waldo Swiegers, Bloomberg

Published Apr 21, 2017

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Johannesburg - South Africa's rand eased

back early on Friday, ending a recent rally that has lifted the

unit to 3 week high as developed market currencies came back in

favour.

At 0650 GMT the rand was little changed, trading

0.04 percent weaker at $13 1550 per  compared to a close of

13.1500 overnight in New York.

Yield-hungry investors have ignored the political fallout

and two credit downgrades to "junk" that followed President

Jacob Zuma's sudden firing of his finance minister in late

March.

Read also:  Rand in biggest slide since 2015

Local unit also facing selling pressure as dollar and euro

back in favour with some risk concerns easing. Jobless claims

and business activity data in the U.S. supported bets that the

Federal Reserve will step up rate hikes this year.Rand expected to make another push at R13 resistance

level that could open the door for further gains, traders said.

Stocks were set to open higher at 0900 GMT, with the JSE

securities exchange's Top-40 futures index up 0.46

percent.

In fixed income, the yield on the benchmark government

bond due in 2026 rose 1 basis points to 8.68 percent. 

REUTERS 

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