South African rand steady as markets brace for softer GDP data

The South African rand was little changed at about 17.0950 to the U.S. dollar in early Monday trading as investors looked ahead to the country’s third quarter GDP release. Market expectations point to a slowdown, with economists forecasting growth of roughly 0.5 percent quarter on quarter, according to Reuters.

Analysts at Nedbank warned that momentum appears to be weakening across key sectors, noting that only finance and transport are expected to show resilience. They added that high operating costs and lingering supply-chain constraints continue to weigh on overall activity, based on their assessment shared with Reuters.

South Africa’s benchmark 2035 government bond strengthened slightly, with the yield easing to 8.49 percent. This movement reflects a cautious tone in fixed-income markets as investors position ahead of the GDP announcement, according to CNBC Africa.

Traders say the rand’s stability signals a wait-and-see stance, with the currency likely to respond sharply once growth figures are released. A weaker print could pressure the rand while a stronger showing may offer some near-term support.

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