Rand weakens ahead of Reserve Bank decision
South African bond yields are trading at about where they were at the end of 2018, with analysts noting that they have been relatively stable when compared to movements in the rand, which they usually track.
Foreign investors, however, had taken advantage of this stability, and outflows on Wednesday amounted to R1.8bn, as they sought to reduce risk exposure, Sasfin Securities head of fixed-income dealing Ashley Dickinson said.
Trade is expected to be cautious ahead of the Reserve Bank’s interest-rate decision later on Thursday. Brexit uncertainty persists, after the UK Parliament failed to endorse any clear path forward for the UK’s exit from the EU on Wednesday.
Volatility in the Turkish lira is also getting some attention.
Source: businesslive.co.za
