South African rand weaker on risk aversion, disappointing local mining data

JOHANNESBURG, Jan 20 (Reuters) - The South African rand traded weaker for most of Tuesday's session as risk appetite waned amid geopolitical tensions, while traders also took in weaker than expected domestic mining data.

At 1507 GMT the rand traded at 16.4075 against the dollar ZAR=D3, roughly down 0.2% on Monday's close.

Geopolitical tensions are very high and continue to rise as U.S. President Donald Trump's threats to impose extra tariffs on European allies soured global sentiment and sparked a rush into safe-haven assets.

Gold, traditionally seen as a store of value during times of instability, jumped past $4,700 per ounce for the first time on Tuesday, while silver traded near a record high.

Like other risk-sensitive currencies, the rand often takes cues from global drivers such as U.S. policy in addition to domestic releases.

South Africa's mining output fell 2.7% year on year in November compared with a revised increase of 6.1% in October, Statistics South Africa data showed on Tuesday.

Reuters economists had estimated production to rise 3.9%.

"Weather-related factors, aging mines, logistical shortcomings and elevated operational costs remain key challenges for domestic mining operations," said Investec economist Lara Hodes in a research note.

On the Johannesburg Stock Exchange, the Top-40 index .JTOPI last traded up 0.4%.

South Africa's benchmark 2035 government bond ZAR2035= was weaker, with the yield up 2.5 basis points to 8.44%.