The rand has strengthened to its best level in three weeks against a basket of major currencies and is 1% stronger against the dollar in mid-morning trade on the JSE.

This, after better-than-expected second quarter economic growth of 3.1% compared with a 3.1% contraction in the first quarter.

Adding to this, bond yields for the R186 government bond have fallen, indicating strong demand for the benchmark bond and strengthening the rand.

On top of this, the dollar has weakened in overnight trade, supporting the current stronger rand, which is trading at R14.93 to the dollar, compared with Tuesday’s JSE closing price of R15.12 to the dollar.