Credit: REUTERS/Thomas WhiteJOHANNESBURG, Oct 30 - South Africa's rand was flat against the dollar on Wednesday as investors kept a cautious stance ahead of the finance minister's budget speech, U.S. economic data and an interest rate decision by the Federal Reserve.
* Rand was at 14.6300 versus the greenback, as of 0505 GMT, 0.01% lower compared with previous session's close. ZAR=D3
* Finance Minister Tito Mboweni, who will deliver his medium-term budget policy statement at 1200 GMT on Wednesday, is expected to reveal a wider government deficit and higher debt.
* Globally, expectations of further U.S. monetary policy loosening also emboldened investors, with a reduction of 0.25 percentage points at the conclusion of the Fed's two-day meeting later on Wednesday almost seen as a done deal.
* However, that sentiment was countered by worries that a Sino-U.S. first-stage trade deal could be delayed, prompting a slip in shares in Asian markets.
* "Brace yourselves, we are in for a volatile day," Peregrine Treasury Solutions said in a note, adding when it comes to the rand most of the attention will be on Mboweni's speech.
* Government bonds were slightly weaker, with the yield on benchmark 2026 instrument inching up 1 basis points to 8.21% percent. ZAR186=
(Reporting by Emma Rumney; Editing by Sherry Jacob-Phillips)
((Emma.Rumney@thomsonreuters.com; +27115952832))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
