South African Rand Slips Ahead of U.S. Retail Data
Kenneth Ashong 
South Africa’s rand weakened in early trade on Thursday, October 17, 2024, ahead of U.S. retail sales figures that could give cues on the Federal Reserve’s interest rate path this year.
At 06:51 GMT, the rand traded at 17.6850 against the U.S. dollar, about 0.2% weaker than its previous close.
The dollar last traded about 0.07% firmer against a basket of currencies.
U.S. retail sales figures for September and an interest rate announcement by the European Central Bank are due later in the day.
“This will be an important data set that will offer insight into consumptive demand and whether it has softened enough to warrant the Fed’s stance,” said ETM Analytics.
This was said in a research note, referring to the U.S. data.
Like other risk-sensitive currencies, the rand often takes direction from global drivers like U.S. economic data and monetary policy.
South Africa’s central bank governor, Lesetja Kganyago, will deliver a special lecture at the University of Stellenbosch and President Cyril Ramaphosa will answer lawmakers’ questions in parliament.
South Africa’s benchmark 2030 government bond was weaker in early deals, with the yield up 5.5 basis points to 9.285%.
