Reported 4 months ago
Investor demand surged at South Africa's bond auction ahead of a key election, with primary dealers placing orders for 16.2 billion rand of debt, more than four times the amount on sale. This increased demand is seen as a potential hedge against market uncertainty related to the election outcome, allowing investors to acquire more debt at favorable yields. If the election results are favorable, government bonds could see significant benefits as global central banks ease policies, making South Africa's high yields appealing. Foreign investor interest in government bonds has been increasing despite a decline in non-resident holdings.
Source: YAHOO