The rand weakened in early trade on Thursday, weighed down by risk-off sentiment as the Iran-Israel conflict continued into a seventh day and as investors awaited the South African Reserve Bank's (SARB) Financial Stability Review.

At 0651 GMT, the rand traded at 18.1075 against the US dollar, roughly down 0.5% on Wednesday's close, and at it's lowest level in a month.

This was in line with other emerging market peers as investors fled to safe haven assets while weighing the possibility of US involvement in the Iran-Israel conflict.

Later on Thursday, domestic investor attention will shift to the central bank's June Financial Stability Review, in which it evaluates risks to the country's financial stability and outlines the policy actions taken to mitigate them.

Last month, the SARB cut its main lending rate, but stressed that US President Donald Trump's trade war and elevated uncertainty were likely to pose risks.

South Africa's benchmark 2035 government bond was weaker in early deals, with the yield rising 4 basis points to 10.16%.