JOHANNESBURG (Reuters) – The rand was steady on Friday as traders weighed the South African Reserve Bank’s decision to keep interest rates unchanged and recent trade talks with the U.S. in which South Africa is seeking to roll back steep tariffs.
At 0824 GMT, the rand traded at 17.3350 against the dollar, little changed from its previous close.
South Africa’s central bank on Thursday left its key lending rate at 7% in a tight decision, holding off on easing monetary policy further while it assesses the impact of previous rate cuts.
Although economists polled by Reuters expected no change in rates, some analysts had thought that the central bank would cut after headline inflation in Africa’s most industrialised economy unexpectedly slowed in August.
Investors will also keep an eye on tariff updates after South African Trade Minister Parks Tau met U.S. Trade Representative Jamieson Greer for talks.
U.S. President Donald Trump imposed a 30% tariff on imports from the country last month, the highest rate in Sub-Saharan Africa, which could cause tens of thousands of job losses.
On the economic calendar next week will be business cycle leading indicator figures on Tuesday and producer inflation data on Thursday.
Johannesburg Stock Exchange’s Top-40 index was up 0.2% in early trade.
South Africa’s benchmark 2035 government bond weakened as the yield rose 3 basis points to 9.21%.
(Reporting by Sfundo Parakozov; Editing by Alexandra Hudson)
