The rand was softer against the dollar on Thursday afternoon, after producer inflation numbers came in worse than expected.This raised the possibility that the Reserve Bank might consider interest-rate increases sooner than forecast, affecting already weak economic growth.Factory and farm-gate inflation, as measured by the annual change in the producer price index (PPI), accelerated to 5.9% in June from 4.6% in May; economists had expected it to rise only to 4.9%Higher producer prices have a knock-on effect on consumer inflation, with the effect set to be felt in the coming months. Local consumer inflation is already on the rise, but is expected to remain within the Reserve Bank’s 3% to 6% target range.The rand had earlier found some support after leaders at the Brics conference committed themselves to free trade in the face of the US accelerating tariffs against imports from China. It firmed to a three-week best level of R13.0956 to the dollar as the latter weakened after President...
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