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South African rand weakens on risk-off mood, economic data eyed


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South African rand weakens on risk-off mood, economic data eyed

Rand currency
Photo by Reuters

17th June 2025

By: Reuters

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The South African rand weakened in early trade on Tuesday, as risk sentiment remained fragile with the Israel-Iran conflict entering its fifth day.

At 0626 GMT the rand traded at 17.83 against the dollar, 0.1% softer than Monday's close.

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Heightened uncertainty stemming from the Middle East conflict and US President Donald Trump's call to Iranians to evacuate Tehran led investors to seek safe-haven assets, dulling the appeal of the local currency.

Domestic investors will also look to consumer inflation and retail sales figures due on Wednesday, which may influence the South African Reserve Bank's thinking on monetary policy, though its next rate decision is not due till the end of July.

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South Africa's benchmark 2035 government bond was also weaker in early deals, with the yield rising 1.5 basis points to 10.155%.

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