Johannesburg - South Africa's rand firmed against the dollar on Wednesday as consumer inflation slowed sharply, drawing buyers into the market before a much awaited policy statement on rates by the US Federal Reserve.
By 16:44 GMT the rand had firmed 0.28% to R12.3190 per dollar, bolstered by February data earlier in the session showing headline inflation had slowed to 3.9% year on year, its lowest in nearly four years.
"People are wary of risking too much before the Fed statement," said Ion de Vleeschauwer, chief currency dealer at Bidvest Bank explaining why the rand had firmed.