JOHANNESBURG, Oct 24 (Reuters) – South Africa’s rand gained against the U.S. dollar early on Thursday, as the greenback eased from a three-month high.

At 0756 GMT, the rand traded at 17.70 against the dollar, about 0.5% stronger than its previous close.

The dollar index was last down 0.22% against a basket of major currencies, pausing a recent rally fuelled by bets on a slower pace of interest rate cuts by the Federal Reserve and a potential second presidency for Donald Trump.

With no major domestic economic data releases due in South Africa for the rest of the week, the risk-sensitive rand is set to take cues from the direction of the dollar.

On the stock market, the Top-40 index was up 0.7%.

South Africa’s benchmark 2030 government bond was stronger, with the yield down 12 basis points at 9.39%.

(Reporting by Bhargav Acharya; Editing by Kirsten Donovan)