ZAR: Rand Extends Gains, Hits New One-Year Highs

Spot USD/ZAR goes offered for the tenth consecutive trading session, with broader greenback weakness helping facilitate the move. This has allowed the pair to print fresh one-year lows. The pair last deals at 17.7917, around 820 pips lower on the day, with bears now looking for a move towards Jul 27, 2023 low of 17.4193. On the flip side, bulls initially set their sights on the 50-EMA intersecting at 18.2757.

• SAGB yield curve has shifted a tad lower, with South Africa's 10-year breakeven inflation rate last seen at 5.65%. The aggregate BBG Commodity Index is virtually unchanged on the day, but the precious metals subindex has firmed at the margin. However, gold changes hands ~$5.2/oz. lower.
• Market participants look for the release of South Africa's July CPI this Wednesday, the only notable print expected this week. According to Bloomberg consensus, inflation may have slowed to +4.8% Y/Y from +5.1% prior, with core inflation expected to come in unchanged at +4.5% Y/Y. The SARB looks to anchor key inflation metrics at the +4.5% Y/Y mid-point of the target range and the next monetary policy meeting is slated for Sep 19, the day after the Fed's meeting.
• Elsewhere, FOMC minutes and speeches during the Jackson Hole symposium will be eyed this week.