South African bonds were marginally firmer at midday on Tuesday in quiet trade as most investors were still on holiday.
At 11.31am‚ the benchmark R186 was bid at 9.705% and offered at 9.695% from Monday’s close at 9.710%.
The middle-dated R207 was bid at 9.200% and offered at 9.190% from its previous close of 9.215%.
Local bonds experienced foreign outflows of R1.9bn in the last week of December. Total foreign outflows among bonds and equities were R12.7bn‚ evenly split between bonds and equities.
Nedbank Capital analysts said "foreign risk aversion towards emerging markets is expected to persist in the medium term due to structural factors and as a result of low growth and low productivity as well as depressed commodity prices".
- TMG Digital/BDlive
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