Rand weakens 1% in post-holiday slump

Johannesburg - The rand slipped more than 1% to its softest in two weeks early on Monday following the long Christmas weekend, as thin trade volumes globally and a firmer dollar erased the previous week's modest gains.

In the equities market, the JSE securities exchange's Top-40 futures index was up marginally, pointing to a flat open for the index at 09:00.

By 08:45, the rand had softened 0.98% to R15.30/$, after dipping more than 1% to its weakest level since December 14.

The unit is due to drift lower with little domestically and abroad to drive trade as some markets remain closed on Monday.

Government bonds were flat, with the benchmark paper due in 2026 adding 0.5 basis points to 9.54%.

The rand is on track to end 2015 close to 25% weaker against the dollar as economic fundamentals worsened over the last 12 months, exacerbated by the shock firing of the finance minister earlier in the month as well as lower global demand.

Traders expect the rand to come under some pressure this week with trade, credit and money supply figures due later in the week likely to show economic activity remains subdued.