Rand steady before Sarb rate decision

The rand was steady in early trade on Thursday before the central bank’s interest rate decision later in the day.

At 0615 GMT, the rand traded at R17.76 against the dollar, less than 0.1% weaker than its previous close.

The South African Reserve Bank (Sarb) will announce its latest monetary policy move at a news conference starting around 1300 GMT, a day after the US Federal Reserve delivered another 75 basis point (bps) rate hike.

Economists polled by Reuters predict the Sarb will also raise rates by 75 bps as part of efforts to bring inflation back within its 3%-6% target range.

Data on Wednesday showed August inflation eased to 7.6% year on year from 7.8% in July, still well above the bank’s target although suggesting inflation may have passed its peak.