Rand retreats after scaling new 10-month high

The rand retreated early on Friday after scaling to a 10-month high in the last session, but the currency was on track to post weekly gains of more than 2%.

At 0605 GMT, the rand traded at R14.71 against the US dollar, 0.48% weaker than its previous close.

In the absence of domestic market-moving news, the rand was expected to continue taking direction from global events that sway appetite for risk.

Markets this week has been occupied by stimulus talks in the United States as well as Brexit negotiations in Europe.

Global markets remained swathed in optimism that a deal will be reached over a fresh US economic stimulus package.

Congressional negotiators in Washington were scrambling to agree on details of a $900 billion Covid-19 aid bill. Lawmakers from both major US political parties said failing to agree was not an option, and earlier Republican Senate Majority Leader Mitch McConnell said talks could spill into the weekend.