Johannesburg - The South African bond market remained little changed in late trade on Wednesday from midday levels in a subdued session.
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.
At 4:26‚ the benchmark R186 was trading at 7.240%‚ from a close of 7.300% on Tuesday. The R157 was trading at 5.340% from a close of 5.390% previously. The R207 was bid at 6.305% and offered at 6.275% from a close of 6.345% before.
The rand was last bid at R8.5047/$ from R8.4468 previously.
“December is a high coupon month with a lot of demand for bond coupons‚ which is driving the flow. About 35% of the local bond market is held by foreigners and they are still buying. Traders do not want to be caught short and are trying to cover their positions‚” a bond trader said.
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.
At 4:26‚ the benchmark R186 was trading at 7.240%‚ from a close of 7.300% on Tuesday. The R157 was trading at 5.340% from a close of 5.390% previously. The R207 was bid at 6.305% and offered at 6.275% from a close of 6.345% before.
The rand was last bid at R8.5047/$ from R8.4468 previously.
“December is a high coupon month with a lot of demand for bond coupons‚ which is driving the flow. About 35% of the local bond market is held by foreigners and they are still buying. Traders do not want to be caught short and are trying to cover their positions‚” a bond trader said.