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SAGBs Softer at the Open, 10Y Fails at 9.20 Support

SOUTH AFRICA
  • Local rates start the day on the back foot, with the curve bear steepening as weaker risk sentiment filters through from the APAC session.
  • SAGBs closed a fraction firmer in yesterday's session, but showed signs of flagging momentum as uncertainty builds ahead of the Jackson Hole Symposium.
  • SA's 10Y stalled out at 9.20 support once again and looks relatively vulnerable at the start of today's session.
  • W/w the SAGB curve trades -11-15bp bull flatter in 15-30Y yields.
  • Softer PPI data expected this morning, may add to recent downside in 2Y yields, should the reading surprise lower – next support seen at 4.94.
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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