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Bonds off best level on profit taking

Dec 21 2012 13:44 I-Net Bridge

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Johannesburg - South African bonds were off the day’s best levels in midday trade on Friday on profit taking prompted by a weaker rand.

“We had a strong run during December‚ especially in the long end‚ so we are not surprised to see some profit taking once the rand failed to move below R8.40‚” said a local bond trader.

At 11:45‚ the benchmark R186 was trading at 7.180% from a close of 7.190% on Thursday. The R157 was trading at 5.290% from a close of 5.285% previously. The R207 was trading at 6.220% from a close of 6.235% before.

The rand was last bid at R8.5783/$ from R8.4816 previously.

Activity on the markets is fairly muted‚ with many traders already on holiday and market conditions extremely quiet ahead of the festive season. These conditions are likely to prevail until the new year.

Local markets are open half day on Monday‚ and are then closed on Tuesday and Wednesday for the Christmas and Day of Goodwill holidays. They will reopen on Thursday December 27.


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