The South African rand slipped early on Wednesday as, in the absence of local economic data, attention shifted to a speech by US Federal Reserve Chairman Jerome Powell for clues on the timing of possible interest rate cuts.
At 0821 GMT, the rand was trading at 18.8425 against the dollar, 0.4% weaker than its previous close.
The dollar index remained broadly stable against a basket of currencies.
Investors will be closely watching Powell’s speech later on Wednesday for clues about his stance on the interest rate landscape.
South Africa has no major domestic economic releases until Thursday, when S&P Global will release its economy-wide purchasing managers index survey, which will shed light on business conditions in Africa’s most industrialized economy.
In the stock market, the Top-40 and broader all-share indices were both down 0.6% in early trading.
South Africa’s benchmark 2030 government bond was marginally stronger in early trade, with the yield down 0.5 basis point to 10.625%.
