JOHANNESBURG (Reuters) – South Africa’s rand retreated against the dollar on Tuesday after strong gains the previous day, tracking Asian markets lower as concerns about the global economic outlook sapped investor appetite for emerging assets.
At 0642 the rand was at 11.5415/dollar, down 0.46 percent from its 11.4885 close at the New York session.
Government bonds ticked higher, with the yield on the 2026 instrument – the benchmark for the secondary market – dipping 2.5 basis points to 7.135 percent.
Rand bulls could take charge again on Tuesday, if U.S. factory orders data came in below expectations, thus ensuring that expectations of rate hikes in the world’s biggest economy remained contained, Barclays Africa said in a note.
