UPDATE 1-S.Africa's rand and stocks edge higher on upbeat mood overseas

  • Reuters
  • Forex News
UPDATE 1-S.Africa's rand and stocks edge higher on upbeat mood overseas

(Updates prices)

JOHANNESBURG, Dec 20 (Reuters) - South Africa's rand edged up against the dollar in thin year-end trade on Tuesday, mainly tracking firmer emerging market currencies in the absence of market-moving local news, while an upbeat tone in major overseas equity markets boosted stocks.

At 1524 GMT, the rand ZAR=D3 traded 0.58 percent firmer at 14.0575 to the dollar after ending Monday's session at 14.1400.

The rand has gained more than 9 percent against the dollar since the start of the year, recovering sharp losses recorded last December after President Jacob Zuma suddenly fired the finance minister.

The currency could come under renewed pressure in 2017 amid concerns about sluggish domestic economic growth and uncertainty over the impact of the policies that incoming U.S. president Donald Trump will pursue.

"Sentiments from different directions suggest that the Trump administration is likely to push policies that will might not be favourable to emerging market economies like South Africa," AgriSA analyst Hamlet Hlomendlini said in a note.

Trade was lacklustre on South Africa's debt market, with the yield for the 10-year benchmark government bond ZAR186= closing flat at 8.995 percent.

The blue-chip JSE Top-40 stock index .JTOPI was up 0.98 percent at 43,755 and the broader All-share index .JALSH added 0.93 percent for 50,343.

Major movers on the bourse included investment heavyweight Brait BATJ.J , up 2.53 percent, and property developer Growthpoint GRTJ.J , up 2.7 percent.

About 191 million shares changed hands, around 64 percent of last year's average daily volume.

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