JOHANNESBURG (Reuters) -South Africa’s rand slipped on Thursday, after data out of the world’s biggest economy showed U.S. weekly jobless claims rose.
By 1520 GMT, the rand traded at 18.83 against the dollar, about 0.4% weaker than its previous close. The dollar was little changed a basket of currencies.
A sturdy labour market, sticky inflation and uncertainty over the potential impact of President-elect Donald Trump’s tariffs plans has led the Federal Reserve to project only two interest rate cuts this year from the four it had previously forecast.
“For now, it is evident that the rand’s movement will largely be dictated by expectations around U.S. monetary policy,” said Zain Vawda, market analyst at MarketPulse by OANDA.
There are no major domestic economic releases due in South Africa this week.
On the Johannesburg stock market, the blue chip Top-40 index closed about 0.2% up.
South Africa’s benchmark 2030 government bond was weaker, with the yield up 4 basis point to 9.205%.
(Reporting by Bhargav Acharya and Tannur Anders; Editing by Bernadette Baum)
