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South African rand strengthens after producer inflation data

Published 04/25/2024, 02:34 AM
Updated 04/25/2024, 12:02 PM
© Reuters. South African Rand coins are seen in this illustration picture taken October 28, 2020.  REUTERS/Mike Hutchings/Illustration/ File Photo
USD/ZAR
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JOHANNESBURG (Reuters) -The South African rand rose on Thursday, after monthly domestic producer inflation came in as expected.

At 1550 GMT, the rand traded at 19.0400 against the dollar, nearly 0.9% stronger than its previous close.

The dollar was last trading down 0.11% against a basket of other major currencies.

Statistics South Africa data showed producer inflation rose slightly to 4.6% year on year in March from 4.5% in February, in line with the expectations of analysts polled by Reuters.

The central bank said this week that bringing consumer inflation back to the midpoint of its target range was likely to be a "bumpy and protracted" journey.

The South African Reserve Bank has held its main interest rate at 8.25% since May 2023 to combat price pressures.

© Reuters. South African Rand coins are seen in this illustration picture taken October 28, 2020.  REUTERS/Mike Hutchings/Illustration/ File Photo

On the stock market, the Top-40 index closed 0.2% lower while the broader all-share index was down 0.25%.

Anglo American (JO:AGLJ) Platinum fell 9.48% after BHP Group (NYSE:BHP) bid $38.8 billion for its parent Anglo American.

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