South African bonds were still marginally weaker at midday on Tuesday despite the rand’s slight recovery after it hit its weakest level of R14.46 against the dollar on Monday.
The local currency fell on Monday afternoon following worse than expected local October trade data.
SA’s trade balance recorded a surprisingly high trade deficit of R21.4bn in October after a revised R1.3bn (R0.89bn) deficit in September‚ South African Revenue Service data showed on Monday.
At 11.42am‚ the benchmark R186 was bid at 8.600% and offered at 8.590% from a close of 8.585% on Monday.
The middle-dated R207 was bid at 8.015% and offered at 8.005% from a previous close of 7.990%.
The rand was trading at R14.4136 from R14.4473 previously.
Tuesday sees the release of various international economies’ manufacturing purchasing managers indices‚ which are bound to affect global currencies and subsequently bond markets.
Investors are also waiting for Friday’s US nonfarm payrolls jobs data for further market direction.
- TMG Digital/BDlive
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