JOHANNESBURG, August 5 (Reuters) -The South African rand weakened in early trade on Tuesday ahead of the release of a purchasing managers’ index (PMI) survey.
At 0700 GMT the rand traded at 17.97 against the dollar, about 0.3% weaker than its previous close.
Investors will look to the S&P Global July whole-economy PMI at 0715 GMT for a window on business conditions in Africa’s biggest economy.
Last week a gauge of local manufacturing sentiment showed an improvement in July, pointing to better business conditions in the sector for the first time in nine months.
“For now, the rand is holding its own against the USD and has taken advantage of the USD’s slide, which followed the weaker-than-expected non-farm payrolls data on Friday,” said ETM Analytics in a research note.
South Africa’s benchmark 2035 government bond was slightly stronger in early deals, as the yield shed one basis point to 9.62%.
(Reporting by Sfundo ParakozovEditing by Gareth Jones)
