South African bonds finally responded to a firmer rand on Tuesday afternoon, with the local currency earlier hitting a more than two-and-a-half year high to the greenback.The rand rose to R12.1929 in intra-day trade, after reports that global consulting firm McKinsey and the Gupta-linked Trillian Capital Partners could have their assets frozen pending criminal charges.Analysts had expected bonds to strike a slightly firmer tone due to overnight gains by the rand, on news that arrests of senior corrupt officials and members of the controversial Gupta family could be imminent.German and UK inflation data releases earlier came in largely as expected, which helped support bonds and risk-on sentiment, analysts said.The lack of clear signs of accelerating inflation and the recent strength of the euro could temper the European Central Bank’s plans to taper monetary policy.Locally, focus remains on political developments and the Reserve Bank, which will announce its latest monetary policy s...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.