The South African bond market got off to a positive start on Monday, taking its lead from the relatively stronger rand. But analysts expect muted moves in the build-up to the mid-term budget on Wednesday, which will be monitored by rating agencies such as S&P Global Ratings, which will review the country’s credit rating on December 2. The yield on the R186 bond was at 8.78% in early trade, from Friday’s 8.81%. Nedbank Corporate and Investment Banking said recent commentary from Finance Minister Pravin Gordhan indicated that the Treasury would likely revise its growth forecast lower, but maintain a relatively optimistic outlook compared to the Reserve Bank and International Monetary Fund. Government bond yields in some of the developed markets were mostly lower, with the benchmark US treasury note yielding 1.7323% in early trade, from 1.7366% on Friday.
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