South African rand gains on stronger PMI data

Source: Market Screener

JOHANNESBURG (Reuters) - The South African rand was stronger in early trade on Monday, after private sector activity rose marginally in April.

At 0724 GMT, the rand traded at 18.4650 against the dollar, about 0.3% stronger than its previous close.

The dollar traded near its previous close of 105.17 against a basket of global currencies.

South African private sector activity rose marginally in April as an improvement in business confidence encouraged companies to expand purchasing activity and staffing levels, the S&P Global South Africa Purchasing Managers' Index (PMI) showed on Monday.

This week, markets will keep a close eye on a host of speeches by Federal Reserve officials for hints on the future interest rate path in the world's biggest economy.

The rand often takes cues from global drivers like U.S. economic data in addition to local data points.

On the stock market, both the Top-40 and the broader all-share indexes were up around 0.7% in early trade.

South Africa's benchmark 2030 government bond was stronger in early trading, with the yield down 2 basis points to 10.585%.

(Reporting by Tannur Anders; Editing by Bernadette Baum)