{"id":15599,"date":"2012-10-16T06:01:58","date_gmt":"2012-10-16T04:01:58","guid":{"rendered":"http:\/\/www.myza.co.za\/10\/sp-downgrade-weighing-on-s-africas-rand-and-bonds\/"},"modified":"2012-10-16T06:01:58","modified_gmt":"2012-10-16T04:01:58","slug":"sp-downgrade-weighing-on-s-africas-rand-and-bonds","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/sp-downgrade-weighing-on-s-africas-rand-and-bonds\/","title":{"rendered":"S&amp;P downgrade weighing on S.Africa&#8217;s rand and bonds"},"content":{"rendered":"<p>\t\t<span><\/span><\/p>\n<p>* Rand and bonds under pressure on SP downgrade<span><\/span><\/p>\n<p><span><\/span><\/p>\n<p>* Domestic issues to continue weighing on local sentiment<\/p>\n<p><span><\/span><\/p>\n<p><span class=\"articleLocation\">JOHANNESBURG<\/span> Oct 15 (Reuters) &#8211; South Africa&#8217;s rand<br \/>\nweakened against the dollar on Monday as market players digested<br \/>\na Standard and Poor&#8217;s ratings downgrade that put local assets<br \/>\nunder pressure.<\/p>\n<p><span><\/span><\/p>\n<p>The rand was 1.15 percent weaker against the dollar<br \/>\nat 8.8055 at 1400 GMT, from Friday&#8217;s New York close at 8.7280.<\/p>\n<p><span><\/span><\/p>\n<p>Standard  Poor&#8217;s cut South Africa&#8217;s credit rating after<br \/>\ntrading ended in Johannesburg on Friday, to BBB with a negative<br \/>\noutlook, saying strikes and social tensions could reduce fiscal<br \/>\nflexibility and hurt growth in the continent&#8217;s biggest economy.<\/p>\n<p><span><\/span><\/p>\n<p>The cut leaves South Africa two notches above a<br \/>\n&#8216;speculative&#8217; ranking and the cost of insuring the country&#8217;s<br \/>\ndebt against default has risen by 7 basis points since Friday.<br \/>\nIt has risen over 40 basis points since early August, according<br \/>\nto Markit.<\/p>\n<p><span><\/span><\/p>\n<p>&#8220;The rand continued to be driven by domestic event risks,&#8221;<br \/>\nsaid Tertia Jacobs of Investec Capital Markets.<\/p>\n<p><span><\/span><\/p>\n<p>South Africa has been hit by a wave of wildcat strikes since<br \/>\nAugust that have spread beyond the mining sector, threatened<br \/>\nindustrial relations and sparked downgrades by two of the three<br \/>\nglobal ratings agencies.<\/p>\n<p><span><\/span><\/p>\n<p>SP added that it sees South African growth softening to<br \/>\naround 2.5 percent in 2012 and the budget deficit increasing to<br \/>\nat least 5.1 percent of output.<br \/>\n\u00a0 <span class=\"label\"><strong>Continued&#8230;<\/strong><\/span><\/p>\n<p><span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>* Rand and bonds under pressure on SP downgrade * Domestic issues to continue weighing on local sentiment JOHANNESBURG Oct 15 (Reuters) &#8211; South Africa&#8217;s rand weakened against the dollar on Monday as market players digested a Standard and Poor&#8217;s ratings downgrade that put local assets under pressure. The rand was 1.15 percent weaker against [&hellip;]<\/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-15599","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\/15599","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=15599"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/15599\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=15599"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=15599"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=15599"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}