At 1615 GMT, the rand traded at 17.8000 to the dollar, close to its previous close of 17.8050.
The dollar index which measures the currency against six rivals, was down about 0.8%.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, announced on Sunday its decision to reduce oil supply by about 1.16 million barrels per day.
The decision pushed oil prices up over 6% on Monday and drove dollar strength initially, although it was short-lived. Investors are now focusing on diverging central bank policy with the Federal Reserve widely viewed as nearing the end of its rate-hike cycle.
South African stocks rose on Monday, with the Johannesburg All Share index and the Top-40 index up about 0.7%.
The rise in oil prices caused energy shares to gain globally. South African petrochemical group Sasol ended the day with shares up 5.7%.
Shares of UK-based real estate trust Industrials REIT, which has a secondary listing on the Johannesburg Stock Exchange, rose almost 38% after it agreed to the terms of an offer to be acquired by Blackstone.
The government's benchmark 2030 bond was weaker, with the yield up 3.5 basis points to 9.865%.
(Reporting by Tannur Anders and Nellie Peyton; Editing by Bhargav Acharya and Bernadette Baum)
