* . *
  • About
  • Advertise
  • Privacy & Policy
  • Contact
Friday, August 1, 2025
Earth-News
  • Home
  • Business
  • Entertainment
    Sens. Blackburn, Warnock introduce CREATE Act to provide tax relief to music creators – Yahoo Home

    Sens. Blackburn and Warnock Launch CREATE Act to Deliver Tax Relief for Music Creators

    That’s (Political) Entertainment: When Theatre Meets Politics

    Future Script: How Generative AI Is Changing Collective Bargaining in the Entertainment Industry – Jackson Lewis

    Future Script: How Generative AI Is Transforming Collective Bargaining in Entertainment

    The SBA’s live-entertainment bailout was supposed to end two years ago. We still don’t know how $1.5 billion was spent. – Yahoo Home

    $1.5 Billion Live-Entertainment Bailout: Two Years Later, Where Did the Money Go?

    Wall Street Bets: Caesars, Golden Entertainment, Churchill Downs, GLPI, Boyd – CDC Gaming

    Top Wall Street Bets: Caesars, Golden Entertainment, Churchill Downs, GLPI, and Boyd Take Center Stage

    Micro wrestling coming to NE Ohio – Cleveland.com

    Get Ready, NE Ohio: Micro Wrestling Is Making Its Exciting Debut!

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    Cognizant Technology Solutions Corp (CTSH) Q2 2025 Earnings Call Highlights: Strong Revenue … – Yahoo.co

    Cognizant Q2 2025 Earnings: Impressive Revenue Growth and Key Takeaways

    Revving Up The U.S. Technology Engine – Forbes

    Revving Up The U.S. Technology Engine – Forbes

    More than just a hockey player – Rochester Institute of Technology Athletics

    Beyond the Ice: The Inspiring Journey of a Remarkable Athlete from Rochester Institute of Technology

    Smart Logistics in Warehousing – From Legacy Protocols to Green IoT – How Technology Is Reshaping the Sustainable Supply Chain – Logistics Viewpoints –

    Smart Logistics in Warehousing – From Legacy Protocols to Green IoT – How Technology Is Reshaping the Sustainable Supply Chain – Logistics Viewpoints –

    AI’s race in the dark with China – Axios

    The High-Stakes AI Race: Innovation and Competition in the Shadows

    Eagle Unveils Revolutionary X-Ray Technology at Pack Expo

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
  • Home
  • Business
  • Entertainment
    Sens. Blackburn, Warnock introduce CREATE Act to provide tax relief to music creators – Yahoo Home

    Sens. Blackburn and Warnock Launch CREATE Act to Deliver Tax Relief for Music Creators

    That’s (Political) Entertainment: When Theatre Meets Politics

    Future Script: How Generative AI Is Changing Collective Bargaining in the Entertainment Industry – Jackson Lewis

    Future Script: How Generative AI Is Transforming Collective Bargaining in Entertainment

    The SBA’s live-entertainment bailout was supposed to end two years ago. We still don’t know how $1.5 billion was spent. – Yahoo Home

    $1.5 Billion Live-Entertainment Bailout: Two Years Later, Where Did the Money Go?

    Wall Street Bets: Caesars, Golden Entertainment, Churchill Downs, GLPI, Boyd – CDC Gaming

    Top Wall Street Bets: Caesars, Golden Entertainment, Churchill Downs, GLPI, and Boyd Take Center Stage

    Micro wrestling coming to NE Ohio – Cleveland.com

    Get Ready, NE Ohio: Micro Wrestling Is Making Its Exciting Debut!

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    Cognizant Technology Solutions Corp (CTSH) Q2 2025 Earnings Call Highlights: Strong Revenue … – Yahoo.co

    Cognizant Q2 2025 Earnings: Impressive Revenue Growth and Key Takeaways

    Revving Up The U.S. Technology Engine – Forbes

    Revving Up The U.S. Technology Engine – Forbes

    More than just a hockey player – Rochester Institute of Technology Athletics

    Beyond the Ice: The Inspiring Journey of a Remarkable Athlete from Rochester Institute of Technology

    Smart Logistics in Warehousing – From Legacy Protocols to Green IoT – How Technology Is Reshaping the Sustainable Supply Chain – Logistics Viewpoints –

    Smart Logistics in Warehousing – From Legacy Protocols to Green IoT – How Technology Is Reshaping the Sustainable Supply Chain – Logistics Viewpoints –

    AI’s race in the dark with China – Axios

    The High-Stakes AI Race: Innovation and Competition in the Shadows

    Eagle Unveils Revolutionary X-Ray Technology at Pack Expo

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
Earth-News
No Result
View All Result
Home Business

South African bonds lead global returns amid political stability

July 28, 2024
in Business
South African bonds lead global returns amid political stability
Share on FacebookShare on Twitter

South Africa’s local-currency bonds have outperformed global peers, returning 9.3% in dollar terms this year. The success is driven by political stability post-election, improved fiscal outlook, and a halt in power cuts. Investors are optimistic, with yields expected to fall further. High interest rates and positive inflation trends bolster the appeal, drawing significant foreign investment. Local demand remains strong, signalling continued bullishness for South African bonds.

Sign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox at 5:30am weekdays. Register here.

Join us for BizNews’ first investment-focused conference on Thursday, 12 September, in Hermanus, featuring top experts like Frans Cronje, Piet Viljoen, and more. Get insights on electricity and exploiting SA’s gas bounty from new and familiar faces. Register here.

By Colleen Goko

The outlook for emerging-market local-currency bonds is less than rosy — except in South Africa, which has delivered world-beating returns this year and is seen extending that run.

Developing-nation local debt has struggled amid pressures from higher-for-longer US interest rates and geopolitical risks. Strategists at Goldman Sachs Group Inc. said they’re “leaning defensive” on the asset class due to the volatility the US election may bring.

But in South Africa, investors are leaning in. The bonds have already returned 9.3% in dollar terms this year, more than any other local-currency sovereign debt. The average return for emerging markets was just 0.1%.

South Africa’s general election was the catalyst. Even before the May 29 vote, investors began loading up on the bonds anticipating that a market-friendly government would emerge — and it did.

The yield on benchmark 2035 rand securities has dropped about 140 basis points since the poll to around 11%. It’s set to fall to 10.88% by year-end, and 10.49% by the end of 2025, according to the median forecast in a Bloomberg survey.

“Post the elections there is a lower risk premium paired with an improving fiscal story, albeit slowly,” said Thierry Larose, a Zurich-based portfolio manager at Vontobel Asset Management.

It’s not only the brightening political situation that’s driving bond gains. 

South Africa has gone more than 100 days without power cuts after record blackouts last year that crippled the economy. A plan to use gold and foreign exchange reserves to cut the budget deficit has lowered the government’s debt-service costs and improved the fiscal outlook.

Lesetja Kganyago, governor of South Africa’s central bank, at an interest rates news conference in Centurion, South Africa, on May 30.

With local asset managers mostly at or close to prudential limits on investing offshore, there is potential for capital to flow back onshore as the fundamentals improve, according to Larose. South Africa’s yields remain among the highest in emerging markets, offering juicy returns for investors anticipating lower developed-nation rates in the months ahead.

“Rates are relatively high by global EM standards, and the curve is quite steep,” he said. “Of course, this is due to the deterioration in the credit and risk premia built into the curve, but everything has a price, and the carry and rolldown are still attractive despite the post-election rally.”

Inflation and monetary policy are also moving in the right direction. A measure of South African inflation expectations has dropped to the central bank’s target point of 4.5%, reinforcing bets for a policy easing cycle to begin in September. Forward-rate agreements that capture the September meeting show that traders are fully pricing in a quarter-point cut.

Foreign investors have been net buyers of the nation’s debt to the tune of 23.4 billion rand ($1.3 billion) this year — on track for the largest annual inflow since 2019, based on data reported by exchange operator JSE Ltd.

Demand at South Africa’s government bond auctions has remained strong. The weekly sale on Tuesday drew 18.5 billion rand of orders, nearly five times the 3.75 billion rand of securities on offer, according to data published by the central bank.

“I am bullish on South African local-currency debt for the rest of the year,” said Eimear Daly, an emerging-market macro strategist at NatWest Markets. “Clarity over the domestic political situation has provided the needed trigger for investors to re-engage.”

Read also:

Risk premium on SA bonds is too high, top investor says
RMB Morgan Stanley predicts 18% gains for SA stocks, beating bonds and cash
South African markets suffer amid Cabinet delay concerns

© 2024 Bloomberg L.P.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : BizNews – https://www.biznews.com/sa-investing/2024/07/26/sa-bonds-lead-global-returns

Tags: AfricanbusinessSouth
Previous Post

Ice Spice Twerks As Lady Liberty In “Oh Shhh…” Music Video Feat. Travis Scott

Next Post

Alert : Casper Network Became Victim to a Crypto Hack!

‘Enough is enough,’ say Global South bishops in climate letter – U.S. Catholic

Enough is Enough’: Global South Bishops Deliver Urgent Plea for Bold Climate Action

August 1, 2025
Science Central names new executive director – 21Alive

Science Central Welcomes New Executive Director to Lead Exciting Future

August 1, 2025
Citizen Scientists Are Accelerating Ecology Research, Study Suggests – The New York Times

Citizen Scientists Are Accelerating Ecology Research, Study Suggests – The New York Times

August 1, 2025
I tried Beyoncé’s brutal pre-Coachella vegan diet—and here’s the unfiltered truth – VegOut

I tried Beyoncé’s brutal pre-Coachella vegan diet—and here’s the unfiltered truth – VegOut

August 1, 2025
U17 World Wrestling Championships: Day 3 Live Results – United World Wrestling

U17 World Wrestling Championships Day 3: Live Action and Results

August 1, 2025
New GDP data leads Trump to change his mind about blaming Biden for the economy – MSNBC News

New GDP Figures Force Trump to Rethink Blaming Biden for Economic Woes

August 1, 2025
‘Soft summer’ in Las Vegas, says one of Strip’s largest operators – Las Vegas Review-Journal

Las Vegas Braces for a “Soft Summer,” Warns Leading Strip Operator

August 1, 2025
‘Industry turf war’ or ‘public health crisis’? Federal push to regulate kratom fuels debate in California. – Politico

Is California at a Crossroads: Industry Turf War or Urgent Public Health Crisis in the Kratom Debate?

August 1, 2025
Senate bill to ban lawmaker stock trading moves step forward – and Trump turns on Hawley – CNN

Senate Bill to Ban Lawmaker Stock Trading Gains Momentum Amid Trump’s Criticism of Hawley

August 1, 2025
Hungary to Gain Access to Cutting-Edge US Nuclear Technology – Hungarian Conservative

Hungary Poised to Unleash Cutting-Edge US Nuclear Technology

July 31, 2025

Categories

Archives

August 2025
MTWTFSS
 123
45678910
11121314151617
18192021222324
25262728293031
« Jul    
Earth-News.info

The Earth News is an independent English-language daily published Website from all around the World News

Browse by Category

  • Business (20,132)
  • Ecology (748)
  • Economy (773)
  • Entertainment (21,652)
  • General (16,220)
  • Health (9,810)
  • Lifestyle (781)
  • News (22,149)
  • People (775)
  • Politics (782)
  • Science (15,986)
  • Sports (21,269)
  • Technology (15,751)
  • World (756)

Recent News

‘Enough is enough,’ say Global South bishops in climate letter – U.S. Catholic

Enough is Enough’: Global South Bishops Deliver Urgent Plea for Bold Climate Action

August 1, 2025
Science Central names new executive director – 21Alive

Science Central Welcomes New Executive Director to Lead Exciting Future

August 1, 2025
  • About
  • Advertise
  • Privacy & Policy
  • Contact

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

Go to mobile version