The South African rand firmed slightly toward 17.3 per USD, hovering near November 2024 highs, supported by strong precious metals prices - particularly gold - and a weakening US dollar. Investor focus centered on the forthcoming domestic inflation data and upcoming policy decisions from the US Federal Reserve and South African Reserve Bank later in the week. Meanwhile, South Africa's inflation expectations continued its downward trend into Q3, after the central bank said it would aim for a lower inflation level. The central bank is widely anticipated to keep the main lending rate unchanged at 7% on September 18, to control price pressures and guide expectations down to the new goal of anchoring inflation at 3%. Inflation has ticked up to 3.5% from 2.7% in March, and economists expect it to settle around 4% by year-end. Some analysts think the bank's stated preference for 3% inflation will also encourage it to maintain its repo rate after cuts in May and July.