JOHANNESBURG. — South Africa’s rand was flat against the dollar yesterday as investors kept a cautious stance ahead of the finance minister’s budget speech, US economic data and an interest rate decision by the Federal Reserve.
The rand was at 14.6300 versus the greenback, as of 0505 GMT, 0,01 percent lower compared with previous session’s close.
Finance Minister Tito Mboweni, who was set to deliver his medium-term budget policy statement yesterday, was expected to reveal a wider government deficit and higher debt.
Globally, expectations of further US monetary policy loosening also emboldened investors, with a reduction of 0,25 percentage points at the conclusion of the Fed’s two-day meeting later yesterday almost seen as a done deal. However, that sentiment was countered by worries that a Sino-US first-stage trade deal could be delayed, prompting a slip in shares in Asian markets. — Reuters.