Johannesburg - South African bonds were up to four basis points firmer in midday play on Thursday, as the strong local currency rubbed off on the market.
By 11:50, the benchmark R157 bond was trading at 7.540% from its previous close of 7.570%. The R207 was bid at 8.285% and offered at 8.255% from 8.315% and the R186 was trading at 8.495% and offered at 8.495% from 8.535%.
The rand was bid at 6.9895 to the dollar from its previous close of 7.0333.
"We're mostly firmer on currency - the PPI figure will help. The bidding tone continues from yesterday afternoon, there are still some buyers around," said a local trader.
SA's producer price index (PPI) registered growth of 6.6% year on year (y/y) in April from 7.3%% y/y in March, Statistics South Africa (Stats SA) data on Thursday showed. The PPI lifted 0.9% on a monthly basis from 0.9% in March.
PPI was expected to have decreased at 6.9% year on year (y/y) in April from the 7.3% y/y seen in March, a survey by I-Net Bridge found.
Forecasts among eight leading economists surveyed ranged from 6.5% y/y to 7.3% y/y.
Foreigners were net sellers of R111.383m of South African bonds including repo transactions on Wednesday after net purchases of R276.751m of local bonds on Tuesday, Bond Exchange of South Africa statistics show.
Nominal cumulative volume was R50.860bn on Wednesday from R151.604bn on Tuesday.
Foreigners were net sellers of R106.925m of South African bonds excluding repo transactions on Wednesday after net purchases of R272.234m of local bonds on Tuesday.
For the year to date, foreigners have been net buyers of R19.982bnworth of local bonds, excluding repo transactions. In 2010 foreigners bought net R57.064bn worth of local bonds, excluding repo transactions.
For the year to date for total transactions, including repo transactions, foreigners have been net buyers of R11.858bn of local bonds. In 2010 they bought net R44.541bn worth of bonds.
By 11:50, the benchmark R157 bond was trading at 7.540% from its previous close of 7.570%. The R207 was bid at 8.285% and offered at 8.255% from 8.315% and the R186 was trading at 8.495% and offered at 8.495% from 8.535%.
The rand was bid at 6.9895 to the dollar from its previous close of 7.0333.
"We're mostly firmer on currency - the PPI figure will help. The bidding tone continues from yesterday afternoon, there are still some buyers around," said a local trader.
SA's producer price index (PPI) registered growth of 6.6% year on year (y/y) in April from 7.3%% y/y in March, Statistics South Africa (Stats SA) data on Thursday showed. The PPI lifted 0.9% on a monthly basis from 0.9% in March.
PPI was expected to have decreased at 6.9% year on year (y/y) in April from the 7.3% y/y seen in March, a survey by I-Net Bridge found.
Forecasts among eight leading economists surveyed ranged from 6.5% y/y to 7.3% y/y.
Foreigners were net sellers of R111.383m of South African bonds including repo transactions on Wednesday after net purchases of R276.751m of local bonds on Tuesday, Bond Exchange of South Africa statistics show.
Nominal cumulative volume was R50.860bn on Wednesday from R151.604bn on Tuesday.
Foreigners were net sellers of R106.925m of South African bonds excluding repo transactions on Wednesday after net purchases of R272.234m of local bonds on Tuesday.
For the year to date, foreigners have been net buyers of R19.982bnworth of local bonds, excluding repo transactions. In 2010 foreigners bought net R57.064bn worth of local bonds, excluding repo transactions.
For the year to date for total transactions, including repo transactions, foreigners have been net buyers of R11.858bn of local bonds. In 2010 they bought net R44.541bn worth of bonds.