Money SA economy
The rand was softer in midday trade on Friday, tracking the slightly weaker euro, which has eased back below the key $1.30 level. A local dealer said the forex market's focus today is on US GDP data and June trade figures on the local front.
At 11.42am local time the rand was bid at R7.35 to the dollar, R9.54 to the euro and R11.46 to the pound. The euro was bid at $1.3007 from $1.3077 overnight.
"The rand is a bit softer following the euro which came off against the US dollar and yen amid negative global sentiment, with the main equities globally in negative territory," said a local trader.
Although local trade data is often erratic and difficult to predict, it does sometimes move the local currency if it is outside economists' expectations.
South Africa's foreign trade balance with its non-Southern African Customs Union trading partners is expected to have reached a R1.1 billion deficit in June from the R0.3 billion deficit of May, according to a survey by I-Net Bridge. A record R17.4 billion deficit was set in January last year, but a few surprise surpluses have been registered since then as export performance began to improve, while the recession crimped back on imports.
Forecasts among the leading economists surveyed varied from a R3.0 billion deficit to a R0.6 billion surplus. Customs and Excise is set to release the latest foreign trade data at 14:00.
