South African Rand Strengthens Ahead of US Tariff Announcement

The South African rand has strengthened recently, trading at around 18.17 per dollar, as investors await clarity on upcoming U.S. tariffs under President Donald Trump, expected to be announced on April 2. The currency saw a gain of approximately 0.3% from its previous close, reflecting a broader trend of about 4% appreciation this year despite ongoing volatility influenced by domestic and global economic factors. The South African Reserve Bank opted to keep interest rates unchanged due to concerns over inflation and the impacts of international trade tensions. Local investors are also focused on key economic indicators, including vehicle sales and business confidence data. On the Johannesburg Stock Exchange, the Top-40 index has shown modest gains, while the yield on South Africa’s benchmark 2030 government bond has slightly increased. Overall, market participants are closely monitoring developments related to U.S. trade policies and their potential implications for the South African economy.