JOHANNESBURG (Reuters) – South Africa’s rand slipped against a resurgent dollar on Tuesday, after positive U.S. data suggested the Federal Reserve would likely be cautious in cutting interest rates.
At 1524 GMT, the rand traded at 18.6350 against the U.S. dollar, about 0.3% weaker than its previous close.
Data showed U.S. job openings in November exceeded forecasts and grew to 8.098 million, signalling a generally stable jobs market, while U.S. services sector activity also accelerated in December.
The greenback rose following the data and last traded about 0.1% stronger against a basket of currencies.
The risk-sensitive rand had gained earlier after the Washington Post reported on Monday that aides to President-elect Donald Trump were exploring tariff plans that would represent a marked softening from promises he had made during his 2024 presidential campaign.
While the news initially weakened the dollar, Trump’s subsequent denial reversed some of the U.S. currency’s declines.
On the stock market, the Top-40 index closed about 1% lower.
South Africa’s benchmark 2030 government bond was weaker, with the yield up 2 basis points to 9.05%.
(This story has been corrected to say ‘slips,’ not ‘steady,’ in the headline)
(Reporting by Tannur Anders and Bhargav Acharya; Editing by Bernadette Baum and Alex Richardson)
