South Africa’s rand weakened early on Wednesday, as investors turned their attention abroad after President Cyril Ramaphosa’s re-election as leader of the governing African National Congress (ANC) party.
At 0647 GMT, the rand traded at 17.3400 against the dollar, 0.2% weaker than its previous close.
“As South Africa moves on from the ANC’s elective conference and the perceived risks abate, the focus once again turns abroad”, ETM Analytics said in a research note, flagging the ongoing war in Ukraine, the recommendation of charges against Donald Trump and the rapid spread of COVID-19 through China.
Ramaphosa defeated former health minister Zweli Mkhize in a two-horse race on Monday, clearing the way for him to contest the presidency again at 2024 elections.
On the stock market, the Top-40 and the broader all-share indexes rose around 0.5% in early trade.
The government’s benchmark 2030 bond was weaker in early deals, with the yield up 5 basis points to 10.205%.