The rand inched higher in the beginning Tuesday, as investors took profits over a recent dollar surge ahead of an american decision on if you should pull out of your Iran nuclear agreement.
?At 6:50 GMT, the rand was 0.2% firmer at 12.51 per dollar over a close of 12.52 overnight in Ny.
With a light-weight data calendar locally, market participants will look at events abroad, is actually fundamentals still favouring dollar strength, pressure will remain on emerging currencies, rendering any rand gains brief.
“Without any clear bullish events in your area on the horizon, we think that your rand will keep to trade line while using the international environment which are dictated with the US dollar,” said analysts at Nedbank in a very note.
Market participants were trying to take profits on stretched carry-trade positions amid concerns around slowing global growth and escalating trade tensions, said Nedbank’s Mehul Daya and Walter de Wet.
US President Mr . trump is anticipated to make an announcement over the nuclear deal at 18 00 GMT. An american withdrawal through the agreement, which eased economic sanctions so they could earn Tehran limiting its nuclear programme, would impact risk sentiment in the broader markets.
Stocks were set to read firmer, using the Top-40 futures index up 0.48%.
Bonds were slightly firmer, when using the yield on benchmark paper due in 2026 down 0.5 basis suggests 8.32%.