South African rand edges up ahead of month-end economic data

According to Business Recorder, the South African rand edged higher in early trade on Wednesday, changing hands at 16.3575 against the dollar at 0716 GMT. That was roughly 0.3% stronger than its previous close. Currency traders were waiting on a run of month-end domestic economic releases that might shed light on the condition of the continent's largest economy.

Central bank figures showed M3 money supply growth picked up to 8.89% in August, compared with 8.57% in July. Private sector credit expansion also firmed, reaching 7.47% from 7.41% a month earlier, which topped the 6.90% projection in a Reuters poll.

Later in the day, the Treasury, Statistics South Africa and the revenue service are set to publish budget balance, producer inflation and trade balance figures respectively. On the Johannesburg Stock Exchange, the Top-40 index was unchanged in early trade, while the benchmark 2035 government bond firmed as its yield slipped 7 basis points to 8.765%. The rand often responds to global drivers such as US economic indicators and monetary policy, and the US dollar eased against a group of major currencies as traders waited for American inflation readings on the Federal Reserve's next move, with the PCE price index due at 1230 GMT.