Market participants were awaiting US durable goods and new home sales data due later in the day for market direction‚ leaving South African bonds marginally firmer at midday on Wednesday‚ despite a slightly softer rand.
Although an upside surprise in these data could ensure a weaker rand due to the intensifying concern that the US Federal Reserve would increase rates in December‚ Barclays Research analysts suspected that investors might lack conviction ahead of Thursday’s US Thanksgiving public holiday‚ when many US investors were likely to go away for a long weekend.
Next week‚ investors will have to digest a deluge of potentially market-moving events and data‚ including the US November employment report‚ European Central Bank (ECB) policy meeting and Fitch’s country review of SA.
At 11.57am‚ the benchmark R186 was bid at 8.440% and offered at 8.425% from a close of 8.440% on Tuesday.
The middle-dated R207 was bid at 7.850% and offered at 7.835% from a previous close of 7.860%.
- TMG Digital/BDlive
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