South African rand firms, supported by precious metals
JOHANNESBURG, Oct 25 (Reuters) - The South African rand firmed on Monday, supported by higher precious metals prices, while stocks slightly edged lower.
At 1500 GMT, the rand ZAR=D3 traded at 14.7275 against the dollar, around 0.67% firmer than its previous close.
"South Africa's is a major exporter of minerals, precious and base metals, lending itself to rand sensitivity relative to these commodity prices, and today these prices are supportive of the domestic currency," IG senior market analyst Shaun Murison said.
Gold prices XAU= rose about 1% on Monday, as a retreat in U.S. bond yields and persisting worries about inflation lifted the safe-haven asset.
Platinum XPT= and Palladium XPD= also edged higher.
Higher precious metals prices have helped cushion the economic shock from the COVID-19 pandemic by providing South Africa with bumper tax receipts.
The yield on the government's 2030 bond ZAR2030= was down 3 basis points at 9.555%.
On the stock market, the Top-40 .JTOPI index was down 0.13% to 60,445.78 while the broader all-share .JALSH closed 0.1% lower at 66,980.45.
Shares in miner Sibanye Stillwater SSWJ.J fell 5% after the company said it was in talks to buy Santa Rita nickel and Serrote copper mines in Brazil.
Reporting by Alexander Winning and Olivia Kumwenda-Mtambo; Editing by Bernadette Baum
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