The South African bond market was hardly changed at
midday on Thursday after data showed that producer price inflation rose
in November.
The producer price index (PPI) rose an annualised 6.9% in November from 6.6% in October. Producer prices are usually a good indication of future movements in consumer inflation.
At 11.45am the longer-dated benchmark R186 was bid at 9.040% from 8.915% and the shorter-dated R207 was bid at 8.260% from a previous 8.175%.
The bond market was following the weaker rand after a widely anticipated 25 basis point hike in interest rates by the US Federal Reserve on Wednesday, which strengthened the dollar against most currencies.
The Fed also indicated the possibility of three more rate hikes next year. The US five-year bond rate surged to 2.06%.
The producer price index (PPI) rose an annualised 6.9% in November from 6.6% in October. Producer prices are usually a good indication of future movements in consumer inflation.
At 11.45am the longer-dated benchmark R186 was bid at 9.040% from 8.915% and the shorter-dated R207 was bid at 8.260% from a previous 8.175%.
The bond market was following the weaker rand after a widely anticipated 25 basis point hike in interest rates by the US Federal Reserve on Wednesday, which strengthened the dollar against most currencies.
The Fed also indicated the possibility of three more rate hikes next year. The US five-year bond rate surged to 2.06%.
No comments:
Post a Comment