South African Rand Hits 10-day High Versus Greenback

The South African currency surged up against the US dollar in New York trading on Monday. The rand climbed to a 10-day high of 7.4839 versus the greenback by about 2:35 pm ET, compared to 7.6262 hit late New York Friday. The rand is presently trading near 7.4864 versus the dollar.

South Africa's seasonally adjusted purchasing managers' index stood at 53.6 in January, up from 52.5 in the previous month, Kagiso Securities said on Monday. This was the highest reading since April 2008. A reading above 50 indicates expansion, while one below 50 suggests contraction.

Economic news from the U. S. side, the U.S. Institute for Supply Management reported that, the index of activity in the manufacturing sector jumped to 58.4 in January from 54.9 in December, with a reading above 50 indicating growth in the sector. The increase by the index exceeded the expectations of economists, who had expected the index to edge up to a reading of 55.5.