Rand edges up ahead of data-filled week

The rand gained slightly in early trade on Monday, ahead of a week of data releases which include the country’s second quarter gross domestic product (GDP) and current account.

At 0655 GMT, the rand traded at R18.81 against the dollar.

The dollar last traded around 0.11% weaker against a basket of global currencies.

On Thursday, the South African Reserve Bank will release the country’s second quarter current account and GDP data.

“The economy held up better than expected in Q2, as load shedding was less severe than in Q1,” said Nedbank’s Group Economic Unit in a research note, referring to the country’s rolling blackouts.

Nedbank said it is predicting quarter-on-quarter GDP growth of 0.4%, but resilience is likely to fade as the national utility Eskom ramps up maintenance in the southern hemisphere’s summer months.

South Africa’s benchmark 2030 government bond was slightly weaker in early deals, with the yield up 0.5 basis point to 10.305%.