The South African rand was subdued in early trade on Wednesday, tracking other emerging market currencies as investors awaited the US Federal Reserve's policy decision and comments from Fed Chairman Kevin Warsh for clues on inflation and interest rate outlooks.

At 0723 GMT the rand traded at 16.7050 against the dollar, a whisker away from Tuesday's close.

The Fed's policy decision is due at 1800 GMT, while Warsh's comments are scheduled for 1830 GMT.

Market expectations indicate a 68% chance that the central bank will hold rates steady and a 32% probability of a 25 basis-point hike, according to the FedWatch tool. Markets are pricing in a 77% chance of an increase in September.

Like other risk-sensitive currencies, the rand often takes its cues from global factors, particularly US monetary policy, alongside domestic economic data.

South African Reserve Bank data on Wednesday showed M3 money supply growth slowed to 9.31% in June from 9.59% in May, while private-sector credit growth eased to 7.80% from 8.57% and undershot the 8.35% forecast in a Reuters poll.

Investors were also monitoring renewed tensions in the Middle East after the US and Saudi Arabia launched strikes against Iran-backed groups in Iraq, pushing oil prices higher.

On the Johannesburg Stock Exchange, the Top-40 index was up 1% in early trade, led by mining stocks.

South African miner Valterra Platinum's half-year profit soared by more than 1 600% on the back of stronger prices of platinum group metals and strong increases in output and sales volumes.

Valterra Platinum was the top performer on both the all-share and Top-40 indexes, rising more than 7%.

South Africa's benchmark 2035 government bond weakened, with the yield rising 3 basis points to 8.53%.