Slightly firmer rand may lose footing

Johannesburg - The rand was slightly firmer against the dollar early on Monday, with scope to lose some ground after weak manufacturing data from China, a key importer of South African commodities, added to a gloomy outlook for the global economy.

At 08:40 the rand was at R11.6175/$, up 0.2% from Friday's close at R11.6410.

The yield on the 2026 benchmark was flat at 7.135%.

While concerns over the global economy had hit markets, the impact on the rand was limited, RMB currency analyst John Cairns noted, adding however that the bias was for the currency to weaken.

"Expect volatile, choppy trade to continue, with focus on today’s global PMI figures and Friday’s US non-farm payrolls report," he added.

The Chinese figures came on the heels of the fourth-quarter US gross domestic product report on Friday that showed growth slowed sharply as weak business spending and a wider trade deficit offset a surge in consumer spending.