JOHANNESBURG (Reuters) -The South African rand slipped on Monday, giving back some of the gains the currency made last week on hopes for the end of the U.S. Fed’s tightening cycle.
At 1654 GMT, the rand traded at 18.3025 against the dollar, 0.25% weaker than its previous close. The rand has jumped around 2% against the greenback since the start of November.
On Friday, the rand firmed as U.S. Treasury yields fell and data out of the U.S. showed fewer than expected jobs were created in October, boosting hopes the Fed is done raising interest rates.
South Africa’s foreign minister said on Monday the country was recalling diplomats from Israel for consultations amid a rise in civilian casualties from its war with the Palestinian militant group Hamas.
This week, investors will be closely watching South Africa’s September mining production and manufacturing figures for clues on the health of the local economy.
Shares on the Johannesburg Stock Exchange rose, with the blue-chip Top-40 index closing about 0.7% higher.
South Africa’s benchmark 2030 government bond was slightly weaker with the yield up 1 basis point at 10.395%.
(Reporting by Tannur Anders and Anait Miridzhanian; Editing by Christina Fincher)