JOHANNESBURG (Reuters) - South Africa's rand started the week on a firmer footing on Monday as the greenback came under pressure on speculation U.S. monetary policy could be loosened even further. Government bonds also firmed, with market players bracing for second quarter GDP numbers on Tuesday, which could give a further boost to the debt market if the data confirm a sharp slowdown in economic growth. Local stocks looked set for a positive start at 0700 GMT, with the Top-40 September futures contract up 0.45 percent. Financial markets have increasingly priced in possible further stimulus for the U.S. economy after Federal Reserve Chairman Ben Bernanke left the door open for such an action in a speech on Friday. Encouraged by the prospect of further stimulus for the world's largest economy, global markets have rallied and sentiment towards risky assets has improved. The rand was trading at 7.1104 to the dollar at 0650 GMT, 0.55 percent firmer than Friday's New York close of 7.15. It hit a session high of 7.10. "I think the moves to the topside were overdone for the rand and it looks like with equity better, we could see a 7.05 to 7.15 type of range today," said a dealer. The rand has rallied from one year lows of 7.50 seen earlier this month and could gain further, especially if it breaks below 7.10, but there is still uncertainty in the market. Continued...

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