South African CPI slows further
South Africa’s
consumer inflation slowed more than expected in June, official data
showed on Wednesday, leaving the door open for another rate cut before
year-end.
Statistics South
Africa said on Wednesday, consumer inflation slowed to 4.2 percent
year-on-year in June from 4.6 percent in May, beating forecasts of 4.5
percent. Inflation slowed for the sixth consecutive month.
The central bank
said although the local economic recovery was continuing, signs pointed
to a less favourable growth outlook in the second quarter, after the
economy exited its first recession since 1992 in Q3 2009.
The rand was
trading at 7.36 against the dollar at 0956 GMT, from 7.3650 before the
data was released at 0930 GMT. The yield on the 2015 government bond
dipped to 7.635 percent from 7.69 percent.
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