South Africa's rand weakened against the dollar on Thursday after firming overnight supported by a rally in global markets but domestic stock futures fell, indicating a weaker bourse opening. Global stocks rose on hopes that a revival in China will support the weak global economy. China's Premier Wen Jiabao said China will achieve 8 percent growth this year despite the deepening global economic crisis. By 0646 GMT the blue chip Top-40 March futures contract was down 0.33 percent ahead of market opening at 0700 GMT. The bourse snapped a 3-day losing streak on Wednesday. The rand was trading at 10.43 against the dollar, 0.68 percent weaker than its previous New York close of 10.36 on Wednesday. Dealers said although the rand had recovered from a 3-month low of 10.66 against the dollar it hit in the previous session, the currency was still vulnerable. "It strengthened a bit overnight as stocks bounced, but I think it might come off, with 10.30 to 10.80/dollar the range for the day," said a Johannesburg-based trader. The euro, which is the currency of South Africa's largest trading partner, fell on expectations the European Central Bank will cut rates to an all-time low later on Thursday. South African government bonds were slightly firmer. The yield on the 2015 bond was down 2 basis points to 7.96 percent and that on the 2036 issue went down by the same margin to 8.16 percent. The Business Confidence Index is due out at 0930 GMT. South Africa's January business confidence was at a six-year low, depressed by the impact of a global economic slowdown. South Africa's central bank is largely expected to cut interest rates further this year, after slashing the repo rate by 150 basis points to 10.5 percent since December. Interest rates increased by 500 basis points between June 2006 and June 2008.

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