{"id":8156,"date":"2012-02-21T02:18:23","date_gmt":"2012-02-21T00:18:23","guid":{"rendered":"http:\/\/www.myza.co.za\/02\/rand-s-african-govt-bonds-closer-higher-in-global-risk-on-trade\/"},"modified":"2012-02-21T02:18:23","modified_gmt":"2012-02-21T00:18:23","slug":"rand-s-african-govt-bonds-closer-higher-in-global-risk-on-trade","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/rand-s-african-govt-bonds-closer-higher-in-global-risk-on-trade\/","title":{"rendered":"Rand, S.African govt bonds closer higher in global risk-on trade"},"content":{"rendered":"

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

* Rand rides on positive global risk sentiment<\/span><\/p>\n

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

* Bonds edge up, increased state borrowing could weigh<\/p>\n

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

JOHANNESBURG<\/span> Feb 20 (Reuters) – The rand strengthened
\nagainst the dollar on Monday on rising global risk appetite and
\nSouth African government bonds edged higher, but local debt
\ncould come under pressure if the government signals a rise in
\nborrowing in its budget this week.<\/p>\n

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

Economists expect Finance Minister Pravin Gordhan to target
\na budget deficit of 5.4 percent of GDP for the 2012\/13 fiscal
\nyear when he unveils his annual budget on Wednesday. That would
\nbe down from an estimated 5.3 percent of GDP in 2011\/12 but
\nhigher than a forecast of 4.8 percent of GDP for 2012\/13 made in
\nlast year’s budget as the government ramps up spending on
\ninfrastructure and social services.<\/p>\n

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

At 1629 GMT the rand was 1.07 percent firmer at 7.66
\nagainst the dollar, making it the second-best performer among a
\nbasket of 20 emerging market currencies after the Hungarian
\nforint on the day, as expectations euro zone finance
\nministers would approve a debt bailout for Greece boosted global
\nrisk appetite.<\/p>\n

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

Trading volumes were thin, with U.S. markets closed for a
\npublic holiday.<\/p>\n

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

“It’s a very quiet afternoon due to the U.S. holiday and
\nbecause markets are waiting to see if the Greek bailout will be
\nagreed,” Informa Global Markets analyst Christopher Shiells
\nsaid.<\/p>\n

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

“Hopes are high that a deal has been thrashed out and this
\nis what has been driving broader market sentiment and the rand
\nhigher today,” he said.<\/p>\n

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

On the debt market, the yield on South Africa’s benchmark
\nthree-year bond dipped one basis point to close at
\n6.59 percent while the yield on 14-year paper fell 1.5
\nbasis points to 8.215 percent.<\/p>\n

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

“The market has adopted a wait-and-see stance pre-budget,
\nbut if he (Gordhan) signals increased borrowing, bonds could
\ncome under a bit of pressure. Offshore demand still remains
\nfairly strong though,” a Johannesburg bond trader said.<\/p>\n

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

Foreigners bought a net 1.5 billion rand ($195.80
\nmillion)worth of South African debt last week, data from the JSE
\nsecurities exchange showed.
\n ($1 = 7.6609 South African rand)\t<\/p>\n

(Reporting by Stella Mapenzauswa; Editing by Susan Fenton)<\/p>\n

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

\n

\t\t\u00a9 Thomson Reuters 2012 All rights reserved<\/p>\n","protected":false},"excerpt":{"rendered":"

* Rand rides on positive global risk sentiment * Bonds edge up, increased state borrowing could weigh JOHANNESBURG Feb 20 (Reuters) – The rand strengthened against the dollar on Monday on rising global risk appetite and South African government bonds edged higher, but local debt could come under pressure if the government signals a rise […]<\/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-8156","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\/8156","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=8156"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/8156\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=8156"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=8156"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=8156"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}