JOHANNESBURG, April 21 (Reuters) - The South African
rand was weaker in early trade on Friday, as rising expectations
that the U.S. Federal Reserve will raise interest rates by 25
basis points (bps) in May lent support to the dollar.
At 0620 GMT, the rand traded at 18.0850 against the
dollar, down more than 0.3% on than its previous close.
The dollar was marginally firmer against a basket of global
currencies , with money markets now pricing in a roughly
86% chance of 25 bps hike next month despite jobless claims this
week pointing to a slowing labour market.
The risk-sensitive rand often takes its cue from global
factors like the outlook for U.S. monetary policy in the absence
of major local drivers.
No major domestic economic data is due to be released on
Friday, although weekly inflation-linked bond and Treasury bill
auctions are scheduled.
Next week Statistics South Africa will publish the March
producer price index , and the central bank will
release its February leading business cycle indicator and biannual Monetary Policy Review.
The government's benchmark 2030 bond was little
changed in early deals, with the yield up 1 basis point at
10.080%.
(Reporting by Tannur Anders
Editing by Alexander Winning)
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.