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SAGBs Accelerating Weakness Post-CPI, Curve Bear Flattening

SOUTH AFRICA
  • Yields are up +5.9-8.4bp across the curve with a marginal bear flattening bias holding
  • 2Y yields have made a fresh YTD high at 5.24, next Res 5.288-5.409
  • SA still has the second widest real yields in the EM space, contributing to solid carry, but the threat of this being eroded in the coming months should work against ZAR & SAGBs

MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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