BONDS were mixed in late trade yesterday after the Reserve Bank cut the repo rate by 50 basis points to 11,5% with effect from today.
The short-dated bond — the R153 — was weaker, but the longer- dated bonds were firmer.
By 4.40pm the R153 bond was at 7,960% from 7,780%.
The R157 was at 7,840% from 7,880% , while the R186 was bid at 7,735% from 7,800%. The rand was last at R10,041 to the dollar, having responded to a weaker US dollar rather than the rates announcement. “The rand looks like it might break through 10," a trader said.
He said the curve has inverted, with the R153 the big loser as some players were disappointed that the rate cut was not bigger. Foreigners were net bond sellers of R513,679m on Wednesday after net bond purchases of R1,596bn on Tuesday, Bond Exchange of SA statistics show. I-Net Bridge
