\n The South African rand strengthened on Friday, lifted by a weaker U.S. dollar and a rebound in gold prices, after Federal Reserve Chair Jerome Powell signalled the possibility of a rate cut at the central bank\u2019s September meeting.\n <\/p>\n
\n The rand had traded sideways for most of the week, even as South Africa reported its highest consumer inflation in 10 months on Wednesday, according to Reuters<\/a>.\n <\/p>\n \n By 15:56 GMT, the rand was trading at 17.4525 to the dollar, about 1.5% stronger than Thursday\u2019s close and its firmest level since early November 2024.\n <\/p>\n \n The dollar index slipped 0.8%, while gold prices climbed, further boosting demand for South Africa\u2019s currency, given its status as a major gold producer. Like other risk-sensitive assets, the rand often tracks global policy signals and economic data.\n <\/p>\n \n Next week, investors will focus on South Africa\u2019s business cycle leading indicator, producer inflation, money supply, private sector credit, trade balance, and budget balance data.\n <\/p>\n \n The Johannesburg Stock Exchange\u2019s Top-40 index closed about 1% higher, while the yield on South Africa\u2019s benchmark 2035 government bond fell 7 basis points to 9.57%.\n <\/p>\n \n The Johannesburg Stock Exchange\u2019s Top-40 index closed about 1% higher, while the yield on South Africa\u2019s benchmark 2035 government bond fell 7 basis points to 9.57%.\n <\/p>\n Economic growth outlook brightens<\/p>\n \n Meanwhile, South Africa\u2019s economy likely grew for a third straight quarter<\/a>, supported by rebounds in manufacturing and mining, though fresh U.S. tariffs threaten to undercut momentum.\n <\/p>\n