South Africa: Rand slips as U.S, China deadlock weighs

0
66
The Rand, South African Currency.

South Africa’s rand weakened in early trade on Thursday as risk demand globally was stalled by a lack of fresh progress on a U.S.-China trade deal.

At 0620 GMT the rand was 0.16% weaker at 14.7760 per dollar versus an overnight close of 14.7350.

The rand has moved in-step with swings in sentiment driven by tariffs tussle between Beijing and Washington.

U.S. President Donald Trump on Wedensday signed into law legislation supporting Hong Kong protesters, prompting an angry response from China warning it would take “firm counter measures”.

That dimmed the ray of optimism that the two superpowers where nearing a deal, hurting risk demand as investors sought out safe-heaven currencies and assets.

The closure of U.S. markets for the Thanksgiving holiday is also likely to keep the rand on the backfoot in low volume trade.

Bonds were also weaker, with the benchmark paper due in 2026 adding 2 basis points to 8.45%.

Peace PIAK