The rand was off its weaker levels of late Thursday in early trade on Friday, as the markets await further details of the US treasury plan to set up a separate entity that would absorb the financial sector pressure.

Dow Jones Newswires reports that the U.S. government is working on programs that could represent the biggest intervention in financial markets since the 1930s, including a mechanism to take bad assets off the balance sheets of financial companies. European bourses are expected to rally on the news. The euro and gold are lower, with oil little changed.

By 08.30am the rand was bid at 8.1340 to the dollar from a previous close of 8.1600. It was bid at 11.5607 to the euro from a previous 11.6941 and at 14.6720 against sterling from 14.8230 before.

The euro was bid at $1.4222 from $1.4320 overnight, while gold was quoted at $848.05 a troy ounce from $851.70/oz overnight.

RMB analysts said in their morning report that until further details of the US plan are released, markets look to remain extremely volatile.

"We're currently in a positive phase which allows USD/ZAR scope to maybe get to 8.05 but probably stabilise in the 8.10 — 8.20 area. EUR/ZAR doing the heavy running, almost below 11.50 this morning.

"Having said that US equities fell sharply Monday, gained sharply Tuesday, fell sharply Wednesday and gained sharply Thursday. Friday then maybe another bad day - who knows?," they added.

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