Newsletter
GBN Press Offices
The Market Maverick
749
VIEWS

Send  Print  Share  RSS  Twitter  10 Jun 2009

SA Credit AM: Firm rand provides bond underpin

 
Markets

Recent Local News

SA Credit AM: Firm rand provides bond underpin

Johannesburg, Jun 10 (I-Net Bridge) - A firm rand in early trade on Wednesday served to maintain the solid underpin for local bonds, with the benchmark bond remaining well off the 8.50% level.
By 08:50 the short-term government R153 bond was bid at 6.965% from a previous 6.935%. The medium-term R157 was at 8.430% from 8.410%, while the long-term R186 was bid at 8.975% from 8.940% before.
The rand was last at 8.0408 to the dollar from a previous close of 8.0730.
“The R157s failed to breach 8.50% in trade yesterday, managing to close five basis points firmer on the day aided in part by a firmer rand after comments by Tito Mboweni that the central bank was not in the game of influencing the value of the rand, which put fears to rest that the bank would actively influence future exchange rate levels,” commented a local bond expert.
Foreigners were net buyers of 704.059 million rand worth of South African bonds including repo transactions on Tuesday after net sales of 892.918 million rand worth of local bonds on Monday, Bond Exchange of South Africa statistics show.
Nominal cumulative volume was 99.237 billion rand on Tuesday from
38.422 billion rand on Monday.
Foreigners were net buyers of 711.504 million rand worth of South African bonds, excluding repo transactions, on Tuesday after net sales of 912.805 million rand worth of local bonds on Monday.
On a year to date basis, foreigners have been net buyers of 13.404 billion rand worth of local bonds, excluding repo transactions.
On a year to date basis for total transactions, including repo transactions, foreigners have been net sellers of 12.001 billion rand.
------------------------------------------------------------------
08:50 local time Range so far Previous
(06:50 GMT) Close
R153 (2009/11) 6.965% bid 6.965-7.010 6.935%
R157 (2015) 8.430% 8.420-8.445 8.410%
R186 (2026) 8.975% bid 8.970-8.995 8.940%

Bond Exchange of South Africa (in billions of rand)
Tuesday Monday
Nominal cumulative volume 99.237 38.422
Net foreign purchases/(sales) 0.704 (0.893)
Net foreign purchases/(sales) in 2009: (12.001) billion rand
Net foreign purchases/(sales) in 2008: (40.729 billion rand)
Net foreign purchases for 2007: 6.594 billion rand
Net foreign purchases for 2006: 30.008 billion rand
Repo rate: 7.5%
By Evan Pickworth -------------------------------------------------------------------
I-Net Bridge,
Copyright 2009 I-Net Bridge. All Rights Reserved.

Click here to find out more!
Home News Interviews Advertising Contact us Site Map
© 2010 www.themarketmaverick.co.za. All rights reserved
exit

Newsletter Subscription

Subscribe to The Market MaverickNewsletter (it's free).

Thank You
Your email address has been added.

Name:
Email Address: