JOHANNESBURG (Reuters) – The index fell on Thursday morning as investors turned cautious ahead of recently re-elected President Cyril Ramaphosa’s cabinet appointments as part of his government of national unity.
At 0726 GMT, the rand was trading at 17.9850 against the US dollar, down 0.15% from its previous close.
The local currency strengthened to a near 11-month high of 17.9200 on Wednesday after five political parties joined the African National Congress last week in forming a government of national unity after it lost its overall majority in the general election.
“Markets will now be watching President Ramaphosa’s cabinet appointments with interest,” said Andre Cilliers, currency strategist at TreasuryONE.
South Africa won’t have any major economic data until next Thursday, when Statistics South Africa releases its monthly producer inflation data.
On the stock market, the Top-40 index rose 0.2% in early trading.
South African government bonds due 2030 were weaker, with yields rising 4 basis points to 9.785%.