JOHANNESBURG (Reuters) – South Africa’s rand was stable on Wednesday, after data showing domestic inflation rose less than expected last month and November retail sales jumped.
At 1502 GMT, the rand traded at 18.50 against the U.S. dollar, not far from its previous close of 18.5125.
South Africa’s consumer inflation ticked up to 3.0% year on year in December from 2.9% in November, statistics agency data showed.
Economists polled by Reuters had expected a rate of 3.2%, well below 4.5% – the level the South African central bank aims for.
“We expect inflation to drift higher in 2025 but remain below 4.5% for most of the year,” Nedbank analysts said in a research note.
South African retail sales jumped in November to 7.7% year on year as consumers benefited from interest rate cuts, declining inflation and a pension reform that allowed fund members to make partial withdrawals before retirement.
On the stock market, the Top-40 index closed 0.25% lower.
South Africa’s benchmark 2030 government bond was stronger, with the yield down 9 basis points at 9.005%.
(Reporting by Tannur Anders and Bhargav Acharya; Editing by Savio D’Souza and Hugh Lawson)
