South African rand weakens ahead of BRICS, CPI

JOHANNESBURG (Reuters) -The South African rand eased on Monday, at the start of a week when Johannesburg hosts the BRICS summit of emerging market economies and the government releases monthly inflation figures.

At 1545 GMT, the rand traded at 19.0150 against the dollar, about 0.1% weaker than its previous close.

The dollar was trading up about 0.07% against a basket of global currencies.

The rand has fallen over 6% against the U.S. dollar this month and nearly 12% this year.

From Tuesday to Thursday, South Africa will host the BRICS summit of emerging market economies, welcoming leaders from Brazil, Russia, India and China.

More than 20 countries have submitted formal requests to join the bloc, with BRICS’ potential expansion on the agenda.

On Wednesday, South Africa’s July consumer price index will be published. Inflation was 5.4% in June and within the South African Reserve Bank’s (SARB) target range of 3%-6%.

The SARB will use this figure to inform its future interest rate path when it meets in September.

South Africa’s benchmark 2030 government bond was weaker, with the yield up 6.5 basis points to 10.535%.

Shares on the Johannesburg Stock Exchange rose, with the blue-chip Top-40 index closing about 1% higher.

(Reporting by Tannur Anders and Nellie Peyton; Editing by Bhargav Acharya, Sonali Paul and Barbara Lewis)