World Economy

S. Africa Bonds Stable

S. Africa  Bonds StableS. Africa  Bonds Stable

South African bonds were stable at stronger levels on Wednesday morning with little data due on the day that could sway the market, Dow Jones reported. At 8.20 a.m., the benchmark R186 ($15.26) was bid at 8.275% and offered at 8.27% from Tuesday’s close of 8.28%. The middle-dated R207 was bid at 7.790% and offered at 7.780% from a close of 7.795% previously. Bonds initially rallied on Tuesday afternoon following the rand stronger after May trade data surprised to the upside. The May trade surplus came in at R4.98 billion from a revised deficit of R1.44 billion in April. Risk event on Wednesday will be minimal with the US releasing its private payrolls report for June. The jobs report will give an indication of when the Federal Reserve intends to raise interest rates. Market participants will also be watching developments in Greece, which on Tuesday became the first developed country to default on the International Monetary Fund as the rescue program that sustained it for five years expired.