JOHANNESBURG, May 5 (Reuters) - The South African rand was range-bound in early trade on Tuesday as fresh U.S. and Iranian strikes in the Gulf tested a fragile truce and weighed on risk appetite.
o At 0647 GMT the rand traded at 16.80 against the dollar, hovering around its weakest level since April 29.
o The U.S. and Iran launched new attacks in the Gulf on Monday as they wrestled for control over the Strait of Hormuz with duelling maritime blockades.
o Oil prices eased 1% on Tuesday after climbing by as much as 6% in the previous session.
o South Africa is a net importer of petroleum products and is heavily exposed to fluctuations in global energy prices.
o Africa's largest economy last week extended fuel tax cuts for May and June to cushion the impact of the war on households.
o South Africa's benchmark 2035 government bond was weaker in early deals, as the yield rose 11.5 basis points to 8.895%.
(Reporting by Sfundo Parakozov;Editing by Kirsten Donovan)
