MNI: PBOC Conducts CNY2 Bln Via OMO Thurs; Liquidity Unchanged

CHINA PBOC CONDUCTS CNY2 BILLION VIA 7-DAY REVERSE REPOS THURS

MNI: PBOC Sets Yuan Parity Lower At 7.1339 Thurs; -1.06% Y/Y

CHINA SETS YUAN CENTRAL PARITY AT 7.1339 THURS VS 7.1342

MNI BRIEF: Bank of Korea Keeps Policy Rate At 3.50%

MNI: BANK OF KOREA KEEPS POLICY RATE AT 3.50%: PRESS

Japan May Machine Orders -3.2% M/M

MNI JAPAN MAY CORE MACHINE ORDERS -3.2% M/M; APRIL -2.9%

EZ/UK T-Bill Calendar: 1/3/6-Month UKTB Auction on Friday

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

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 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.