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I am considering trying out Amazons CloudFront CDN, which utilizes their S3 service for file storage and springs data to servers closest to the browser, however, we have a dedicated server in South Africa, Johannesburg to be exact, so my question is this:

Amazons CloudFront seems to give you the option to have your base server in EU, America, Japan but nowhere near South Africa - I guess EU is the closest? So, will I still benefit from using the CDN to server static files (css, images, javascript - when not using Googles ajax API - and media files) rather than calling them from the same, dedicated server? Bear in mind that although we have a dedicated server, it is STILL a shared hosting environment as we host multiple clients websites on the server.

Secondly, if I DO use a CDN like Amazons CloudFront, can I benefit from caching my content and using far future expires headers, compression etc?

Many thanks