JOHANNESBURG. — South Africa’s rand traded firmer early yesterday, stepping back from a three-week low as investors pared some of their long dollar positions ahead of much-watched US jobs data.
At 0650 GMT the rand was 0,52 percent firmer at 14.6975 per dollar compared to an overnight close of 14.7750.
The green-back is seen dipping briefly after the non-farm payrolls due on Friday, with a swell in short positions suggesting a post-data squeeze.
The rand caught a bloody nose on Wednesday after the trade balance swung to a 2.95 billion rand ($199 million) deficit in September from a revised 8,77 billion rand surplus in August, pushing the currency to its weakest since October 9.
The currency lost around 5 percent of its value against the green-back over October as most emerging markets were battered by rising interest rates in the US and concerns over global growth.