The rand was stable in early trading on Tuesday as investors monitored geopolitical developments and awaited the release of a domestic business confidence survey, as well as a central bank monetary policy review scheduled for later in the day.
The rand was trading at 16.37 against the dollar, just slightly below Monday’s closing value.
The South African Chamber of Commerce and Industry is set to release its March business confidence index, which will provide insights into private-sector sentiment regarding Africa’s most industrialised economy.
Additionally, the central bank will publish its Monetary Policy Review, which may offer guidance on its interest rate strategy for the year ahead.
Like other risk-sensitive currencies, the rand often responds to global market influences.
Since the onset of the US and Israeli conflict with Iran at the end of February, the local currency has been particularly affected by global market sentiment.
On Tuesday, oil prices fell by more than $1, reversing the gains from the previous session.
This decline was driven by hopes that peace talks between the US and Iran would take place this week, potentially leading to an increase in oil supply from the crucial Middle Eastern production region.
In early trading, South Africa’s benchmark 2035 government bond fell, with the yield rising 2.5 basis points to 8.37%.
As of Wednesday, 22 April, the rand is trading at R16.49 to the dollar, R22.27 to the pound, and R19.36 to the euro. Gold is currently valued at $4,770.53 per ounce, while oil prices have risen to $97.23 per barrel.
5 important things happening in South Africa today
Bad news for interest rates: The South African Reserve Bank (SARB) noted that the war in Iran poses risks to inflation. While two interest rate hikes are expected this year, SARB anticipates inflation will stay within one percentage point above the 3% target. [DailyInvestor]
Fuel cut extension on the cards: Fuel prices are expected to rise in May, with petrol increasing by over R2 and diesel by R7, according to the Central Energy Fund. However, Finance Minister Enoch Godongwana might extend the R3 fuel levy cut to provide relief. [ENCA]
Naspers director passes away: Steve Pacak, non-executive director and chair of Naspers’ audit and risk committees, has died after a battle with cancer. Naspers announced his passing on April 21, 2026, via the Johannesburg Stock Exchange’s SENS. [MyBroadband]
Court overturns extension of liquor trading hours in the Northern Cape: The Northern Cape High Court has overturned the provincial government’s plans to extend liquor trading hours, supporting a challenge by the nonprofit DG Murray Trust. [BusinessDay]
IEC prepares for challenges ahead of elections: The Electoral Commission of South Africa (IEC) is in KwaZulu-Natal this week, preparing for the challenges of the 2026 local government elections, with a budget of R3.1 billion. Although the IEC hasn’t detailed specific challenges, it expressed concern and plans to brief Parliament later. [EWN]
