Rand weaker on Greece and China fears
The rand was trading 0,46 percent softer at 12,1200 against a stronger dollar.
JOHANNESBURG - The rand weakened against the dollar on Monday as uncertainty around Greece's debt repayments spooked investor sentiment toward emerging market currencies.
At 1453 GMT, the rand was trading 0,46 percent softer at 12,1200 against a stronger dollar, compared with its last level of 12,0650 on Friday in New York.
"The current move is basically a reflection of risk-off sentiments within the market place, in part related to uncertainty around Greece," said Ricardo Da Camara, a market analyst with ETM Analytics.
Greece's financial woes have threatened to strangle appetite for risky emerging markets, sending investors in search of safer bets, such as the dollar and yen.
Traders and analysts were also closely watching China's aggressive cut in banks' reserve requirement ratio as the world's number two economy looked to stimulate slowing growth.
"This once again highlights the pressure that the Chinese economy is under, which obviously has negative consequences for South Africa as one of its major trading partners," Da Camara said.
Locally, power utility Eskom implemented electricity outages for the eighth straight day, cutting as much as 1,000 megawatts of power from the national grid, highlighting the infrastructure challenges facing Africa's most industrialised economy.
Government bonds were also weaker, with the yield on the 2026 benchmark paper up 10,5 basis points to 7,965 percent.