MNI BRIEF: China Visitor Mobile Payments Surge in H1

MNI China Daily Summary: Friday, July 26

MNI BRIEF: Foreign Firms Content In China

MNI BRIEF: Turkish Inflation Expectations Steady- TEBA

MNI China Press Digest July 26: Deposit Rates, Fiscal, PBOC

MNI: PBOC Net Injects CNY299.05 Bln via OMO Fri

MNI: BAKER HUGHES US RIG COUNT 589; OIL RIGS 482; GAS RIGS 101

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT FINAL JUL INDEX 66.4

EZ/UK Bond Supply Calendar: BoE Short APF Operation on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

USDZAR Partially Recovers From Post-Budget Lows

ZAR
While USDZAR has reversed roughly half of the post-budget sell-off, yields on SAGBs still sit approximately 11-13bps lower across the curve. The finance ministry’s tapping of gold and foreign exchange reserves was the highlight of the budget, as it will allow the government to decrease the amount of debt auctioned at its weekly sales, providing some relief to the local bond markets.
  • 10y yields reached a low of 11.505% and have fully erased the Feb 12 upleg. Similarly, 5y CDS have erased most of the early February widening, highlighting the positive post-budget investor sentiment - broad market expectation was for Godongwana to acknowledge notable fiscal slippage relative to targets outlined in his November MTBPS.
  • For USDZAR, while initial support at 18.8004, the Feb 13 low, was briefly pierced, a clear break of this level is needed to signal scope for an extension lower toward key support at 18.5578, the Feb 2 low. It is worth noting that today’s lows also closely match a cluster of moving average levels (50-, 100- and 200-DMAs).
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.