{"id":11348,"date":"2012-06-11T23:08:55","date_gmt":"2012-06-11T21:08:55","guid":{"rendered":"http:\/\/www.myza.co.za\/06\/rand-reverses-gains-to-test-8-45-support-vs-dollar\/"},"modified":"2012-06-11T23:08:55","modified_gmt":"2012-06-11T21:08:55","slug":"rand-reverses-gains-to-test-8-45-support-vs-dollar","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/rand-reverses-gains-to-test-8-45-support-vs-dollar\/","title":{"rendered":"Rand reverses gains to test 8.45 support vs dollar"},"content":{"rendered":"

\t\t<\/span><\/p>\n

* Rand retraces to end weaker against dollar, tracks euro<\/span><\/p>\n

<\/span><\/p>\n

* Shorter-dated bonds remain supported, R157 hits fresh
\nrecord<\/p>\n

<\/span><\/p>\n

JOHANNESBURG, June 11<\/span> (Reuters) – South Africa’s rand and
\nlong-dated bonds ended weaker on Monday, undoing earlier gains
\nas initial cheer over expected inflows from inclusion in a
\nprominent bond index and a bailout for Spain’s banks faded by
\nthe afternoon session.<\/p>\n

<\/span><\/p>\n

Bonds have rallied as much as 8.5 basis points in the
\nmorning after a Citibank confirmation that 11 South African
\nbonds had passed a three-month test to become part of the bank’s
\nprominent World Government Bond Index (WGBI) from October 1.<\/p>\n

<\/span><\/p>\n

The rand retraced gains to a 8.4477 low by the end
\nof local trade, compared to a 8.3846 close in New York on Friday
\nand nearly 20 cents off its best level of 8.2501 hit in the
\nmorning session after the bond index announcement.<\/p>\n

<\/span><\/p>\n

The local unit is trading just below first support at 8.45,
\nwhich if breached opens up the 8.50 level where it bounced from
\non Friday and in May before that. Technical analysts say a test
\nof Friday’s 8.5040 could happen before the local market reopens
\non Tuesday.<\/p>\n

<\/span><\/p>\n

The R186\/R157 yield spread extended to a record 207 basis
\npoints in the session as the longer-term paper
\nreversed all the day’s gains to end with a higher yield of 8.31
\npercent while the 2015 note retained some gains to
\n6.24 percent, off a life-time record 6.18 percent hit after the
\nWGBI announcement.<\/p>\n

<\/span><\/p>\n

“Bonds remain resilient with the benchmark R157 continually
\nreaching fresh all time lows. Following the WGBI news where
\nestimations of inflows for local assets range from $5-9 billion,
\nforeign demand is likely to remain strong,” said Anisha Arora,
\nemerging market analyst at 4Cast.<\/p>\n

<\/span><\/p>\n

Data from the exchange operator JSE Ltd showed
\noffshore accounts had bought 6.9 billion rand worth of debt last
\nweek and have picked up more stock so far this year than they
\nhad this time in 2011.
\n\u00a0 Continued…<\/strong><\/span><\/p>\n

<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

* Rand retraces to end weaker against dollar, tracks euro * Shorter-dated bonds remain supported, R157 hits fresh record JOHANNESBURG, June 11 (Reuters) – South Africa’s rand and long-dated bonds ended weaker on Monday, undoing earlier gains as initial cheer over expected inflows from inclusion in a prominent bond index and a bailout for Spain’s […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-11348","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/11348","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=11348"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/11348\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=11348"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=11348"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=11348"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}