JOHANNESBURG, April 20 (Reuters) - South Africa's rand and government bonds started the week on the back foot ahead of the release of domestic inflation data, as reports that the Strait of Hormuz had again been closed sent oil prices higher and weighed on appetite for risk assets.
o At 1340 GMT the rand traded at 16.3325 against the dollar, 0.2% weaker than its previous close.
o Statistics South Africa will release March inflation data on Wednesday, with analysts polled by Reuters expecting it to inch up to 3.1% year-on-year from 3.0% in February.
o Nedbank economists said a slight increase in inflation would be driven mainly by higher fuel prices, contained by easing food inflation.
o As a net fuel importer, South Africa is heavily exposed to the spike in global energy prices.
o Its currency has been at the mercy of global market sentiment since the U.S. and Israel started the war at the end of February and Iran retaliated on targets throughout the Gulf.
o Chief Investec economist Annabel Bishop said a jump in South African inflation is only likely to show in April's CPI figures, with March's reading likely to have little impact on the rand.
o The South African Reserve Bank will publish a Monetary Policy Review document on Tuesday, which could shed light on its rate-setting trajectory this year.
o South Africa's benchmark 2035 government bond fell, with the yield rising 11.5 basis points to 8.31%.
(Reporting by Sfundo Parakozov and Anathi Madubela;Editing by Joe Bavier, Kirsten Donovan)
