Publications
Partners
Johannesburg - South African bonds were a bit weaker in midday trade on Tuesday, after what a trader described as a "not great" auction.
At its weekly auction, the National Treasury received bids totalling R2.32bn for R70m worth of R203 bonds at a clearing yield of 7.300%, bids totalling R1.08bn for R700m worth of R207 bonds at a clearing yield of 8.840% and bids totalling R1.05bn for R700m worth of R214 bonds at a clearing yield of 8.880%.
In late morning trade, the benchmark R157 bond was at trading 6.750% from its previous close of 6.740%. The R207 was bid at 7.845% and offered at 7.815% from a previous close of 7.820% and the R186 was at trading 8.370%, from its close of 8.360%.
The rand was bid at R7.5519 against the dollar from its previous close of R7.5831.
"It's very quiet. I suppose the bias is to the downside - we just have to wait for MPC (monetary policy committee) and see what cooks.
"We seem to be holding here, quarter-end coming for real-money guys. The holiday season is also approaching," a trader said.
Today saw the start of the South African Reserve Bank's MPC meeting.
The repo rate is expected to remain unchanged, according to a survey of 14 leading economists by I-Net Bridge.
Of the 14 economists surveyed, none foresaw a rate cut on the cards. The interest rate was cut by 50 basis points to 5.5% in November 2010.
At its weekly auction, the National Treasury received bids totalling R2.32bn for R70m worth of R203 bonds at a clearing yield of 7.300%, bids totalling R1.08bn for R700m worth of R207 bonds at a clearing yield of 8.840% and bids totalling R1.05bn for R700m worth of R214 bonds at a clearing yield of 8.880%.
In late morning trade, the benchmark R157 bond was at trading 6.750% from its previous close of 6.740%. The R207 was bid at 7.845% and offered at 7.815% from a previous close of 7.820% and the R186 was at trading 8.370%, from its close of 8.360%.
The rand was bid at R7.5519 against the dollar from its previous close of R7.5831.
"It's very quiet. I suppose the bias is to the downside - we just have to wait for MPC (monetary policy committee) and see what cooks.
"We seem to be holding here, quarter-end coming for real-money guys. The holiday season is also approaching," a trader said.
Today saw the start of the South African Reserve Bank's MPC meeting.
The repo rate is expected to remain unchanged, according to a survey of 14 leading economists by I-Net Bridge.
Of the 14 economists surveyed, none foresaw a rate cut on the cards. The interest rate was cut by 50 basis points to 5.5% in November 2010.
