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Johannesburg - The rand was steady with a weaker bias against the dollar early on Thursday, in line with a stable euro while investors awaited key global and domestic data.
The local currency was at R10.2760/$ at 08:43, from a R10.2630 close in New York on Wednesday.
Investors are bracing for a European Central Bank rates decision later on Thursday and US initial jobless claims and economic growth data.
After that, US jobs numbers on Friday will be next in focus.
The dollar has been under some pressure after Fed comments on Tuesday night that suggested the Fed should wait for more evidence of labour market improvement before reducing its monthly bond-buying.
Worse-than-expected US data will enforce this view, weakening the dollar. The rand is expected to continue underperforming emerging market currencies even when risk turns positive.
The rand is rendered vulnerable by weak structural factors, such as wide current account and budget deficits.
"The rand has failed to make much of a recovery in the short term and this is despite the dollar coming in for some profit-taking," Tradition Analytics said, adding that the currency and bonds were suffering the consequences of persisting economic imbalances.
Yields on government debt were up three basis points to 8.195% on the benchmark 2026 issue.
The market shrugged off reserves data released by the central bank at 08:00, which showed net reserves rose for the fourth straight month.
Investors will also have their eye on domestic output data for the mining and manufacturing sectors in September.
Mining production numbers are due from Statistics South Africa at 11:30 , with economists expecting a year-on-year pick-up to 3.5% from 2.1% in August.
Factory output is expected to show a month-on-month contraction, albeit smaller than in August when production fell 3.6%. Economists expect a -1.1% month-on-month print for September.
The local currency was at R10.2760/$ at 08:43, from a R10.2630 close in New York on Wednesday.
Investors are bracing for a European Central Bank rates decision later on Thursday and US initial jobless claims and economic growth data.
After that, US jobs numbers on Friday will be next in focus.
The dollar has been under some pressure after Fed comments on Tuesday night that suggested the Fed should wait for more evidence of labour market improvement before reducing its monthly bond-buying.
Worse-than-expected US data will enforce this view, weakening the dollar. The rand is expected to continue underperforming emerging market currencies even when risk turns positive.
The rand is rendered vulnerable by weak structural factors, such as wide current account and budget deficits.
"The rand has failed to make much of a recovery in the short term and this is despite the dollar coming in for some profit-taking," Tradition Analytics said, adding that the currency and bonds were suffering the consequences of persisting economic imbalances.
Yields on government debt were up three basis points to 8.195% on the benchmark 2026 issue.
The market shrugged off reserves data released by the central bank at 08:00, which showed net reserves rose for the fourth straight month.
Investors will also have their eye on domestic output data for the mining and manufacturing sectors in September.
Mining production numbers are due from Statistics South Africa at 11:30 , with economists expecting a year-on-year pick-up to 3.5% from 2.1% in August.
Factory output is expected to show a month-on-month contraction, albeit smaller than in August when production fell 3.6%. Economists expect a -1.1% month-on-month print for September.
