Every week we give you our summary of happenings in the bond market.
Bond bulls received assistance from continued offshore investor buying. This was backed by the revived global carry trade, lower than expected March inflation data and a stronger rand. Soothing messages from the new Minister of Finance also helped tranquilise the market. We have opted not to take any of the tranquiliser as the longer-term concern about the fiscal outlook remains one of the main concerns, a factor which is completely ignored by those swept up by the revived global reach for yield.