Johannesburg - The rand extended losses against the dollar to nearly 2% on Wednesday, and government bonds weakened after Moody’s downgraded South Africa’s outlook to negative and said rising political pressure could further erode its financial situation.
The rand was trading at R7.96 against the dollar at 09:22 GMT after earlier touching a session low of R7.9702 from Tuesday’s close at R7.8130. The yield on the 2015 government bond rose 10 basis points to 6.47%.