Bonds weaker as foreign outflows hit market ahead of ratings announcement
South African bonds were weaker on Tuesday morning as the local bond market came under pressure on Monday ahead of the ratings agency announcements on Friday.Local focus is on a Reserve Bank’s monetary policy decision on Thursday, while on Friday ratings agencies S&P Global Ratings and Moody’s will release their latest credit reviews.Foreign activity started the week off on a negative note, with outflows of R1.23bn from the bond market on Monday, analysts at Nedbank Corporate and Investment Banking said.Equity markets last week posted their seventh consecutive weekly inflow from foreign investors. The bond market by contrast, saw outflows of R1.8bn, but monthly inflows into the bond market for November were still a positive R1.8bn. Foreign flows may remain volatile over the next few months, but annual flows to date were positive at R5.3bn, Nedbank said.At 8.52am the R186 was bid at 9.470% from 9.390% and the R207 at 8.185% from 8.095%.The rand was at R14.0795 to the dollar from R14....
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