South African rand weakens ahead of manufacturing survey and car sales data

Business Recorder reported that the South African rand weakened in early trading on Thursday, as investors awaited a manufacturing PMI survey and September vehicle sales numbers. At 0709 GMT the currency changed hands at 16.4875 to the dollar, roughly 0.3% below its prior closing level.

The Absa PMI survey is scheduled for 0900 GMT and is expected to offer insight into factory conditions in the continent's largest economy. Manufacturing sentiment had worsened further in August, when business activity fell sharply, signalling a subdued start to the latter part of the year.

Vehicle sales are due around 1200 GMT and are expected to show consumer demand for big-ticket goods. Nedbank's economists project car sales growth of 6.7% for September, down from 11.4% recorded in August. Elsewhere, the Top-40 index on the Johannesburg Stock Exchange was 0.5% lower in early trade, while the 2035 government bond yield climbed 3 basis points to 8.85%.