Rand gains on weaker dollar

The rand firmed against a weaker US dollar on Tuesday, ahead of an address by President Cyril Ramaphosa at the Investing in African Mining Indaba conference in Cape Town.

At 09:12 traded at 17.62 against the dollar.

The dollar eased but was still near a one-month peak, after traders raised their forecasts for how high the US Federal Reserve might raise interest rates.

Ramaphosa’s speech at the Mining Indaba is part of his administration’s efforts to boost investment and demonstrate that officials are working to end crippling power cuts.

Later this week, the focus will turn to Ramaphosa’s annual State of the Nation Address on Thursday and a rumoured cabinet reshuffle.

The Mining Indaba, which brings together mining company executives, investors, and mines ministers from across Africa and beyond to discuss industry issues, will run until Thursday.

South Africa’s net foreign reserves rose to $54.844 billion in January from $53.827 billion in December, Reserve Bank figures showed on Tuesday.

The government’s benchmark 2030 bond was slightly weaker in early deals, with the yield up 1 basis point at 9.710%.