South Africa’s rand retreats from 1-week best in early trade


South Africa’s rand was slightly weaker early on Friday, retreating from a one-week high against the dollar ahead of important market-moving events next week.
* At 0719 GMT the rand had lost 0.21 percent to 14.1900 per dollar, but it was up 1.4 percent on the week after rising from a 12-month low on Monday.
* The greenback slipped on Friday, weakened by a report that investigators into possible Russian interference in the 2016 U.S. presidential election had subpoenaed President Donald Trump’s election campaign for documents.
* Investors in South African assets are nervous ahead of ratings reviews by S&P Global and Moody’s agencies on Nov. 24.
* A one-notch downgrade of the local-currency rating by both agencies could trigger forced selling of up to $12 billion of the country’s bonds, as well as triggering a heavy selloff the rand.
* Stocks were trading slightly higher, with the JSE securities exchange’s All-share index up 0.3 percent.
* Yields on bonds were lower, with the benchmark ten-year paper due in 2026 down 3.5 basis points to 9.325 percent.