JOHANNESBURG (Reuters) -The South African rand was weaker in early trade on Tuesday, as investors waited for the release of domestic economic indicator data due later in the day.
At 0749 GMT the rand traded at 17.4850 against the dollar, about 0.9% down from its Monday close.
The country’s statistics agency will release the August mining output figures at 0930 GMT.
Reuters economists estimate mining output grew 1.0%, down from an increase of 4.4% in July.
“We see a more significant slowdown in mining output from 4.4% year on year in July to a modest 0.7% in August. Although operating conditions remain challenging, marginal improvements in logistics, combined with the absence of load-shedding, have provided some relief to the sector,” said economists at Nedbank.
They added that surging precious metal prices also likely offered further support.
Gold, traditionally seen as a store of value during times of instability, climbed to a record high above $4,100 on Tuesday on increased U.S. Federal Reserve rate cut prospects, with silver also reaching an all-time peak.
At 0930 GMT investors will also look to a business confidence survey for clues to the health of Africa’s largest economy.
On the Johannesburg Stock Exchange, the Top-40 index was last down 0.6% in early trade.
South Africa’s benchmark 2035 government bond was also weak in early deals, as the yield rose 6 basis points to 9.17%.
(Reporting by Anathi MadubelaEditing by Ros Russell)
