South African rand regains some ground after US pauses tariffs

JOHANNESBURG, April 10 (Reuters) - South Africa's rand firmed in early trade on Thursday, recouping some of its recent loss as investors took a breather after U.S. President Donald Trump announced an immediate 90-day tariff pause for many countries.

At 0631 GMT, the rand traded at 19.25 against the U.S. dollar ZAR=D3, about 0.4% stronger than its previous close.

The local currency hit a record low of 19.9325 on Wednesday, the day Trump's country-specific import tariffs kicked in.

Trump said he would temporarily lower tariffs imposed on dozens of countries including South Africa but kept a 10% blanket duty on almost all U.S. imports.

In addition to Trump's tariffs, local politics have also weighed on the risk-sensitive rand, after a contentious budget vote last week threatened the future of the ruling coalition.

The second-biggest party in the coalition, the pro-business Democratic Alliance, voted against key legislation in the budget and challenged the budget process in court.

South Africa-focused investors on Thursday will look out for February domestic manufacturing ZAMAN=ECI data due at 1100 GMT for clues on the health of the economy.

Benchmark 2030 government bonds ZAR2030= were stronger in early deals, with the yield down 15.5 basis points at 9.15%.