Local bonds weaken as global markets wait for Jackson Hole meeting to begin
South African bonds were marginally weaker on Thursday morning, as investors await the start of a central bank conference that may bring market volatility in coming sessions. Analysts said trade was expected to be muted on Thursday, amid some additional risk-off sentiment prompted by US President Donald Trump’s threats to shut down the US government, should funding for a Mexico border wall not be forthcoming. While meaningful policy adjustments or comments were unlikely to materialise on Thursday, the near-term tone on the market would remain tied to developments from the Jackson Hole conference in the next session or two, Momentum SP Reid analysts said. They said the conference would be closely watched, but markets may not receive clear signals on whether monetary tightening in the US and eurozone would begin this year, amid signs economic growth in both regions was picking up. Locally, inflation moderated to an annual rate of 4.6% in July, much as expected and the lowest level sin...
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