Posts Tagged ‘ava trade’

South Africa’s Biggest Debt Manager Halts Loans to State Firms

Wednesday, August 31st, 2016

South Africa’s biggest private fixed-income money manager will stop lending money to six of the country’s largest state companies because it is concerned about how they are being run, government infighting and threats to the independence of the finance ministry.

Futuregrowth Asset Management, which has about 170 billion rand ($11.7 billion) in assets, shelved plans to lend more than 1.8 billion rand to three state companies on Tuesday (August 30), Chief Investment Officer Andrew Canter said from Cape Town on Wednesday (August 31), without giving more detail.

The fund manager will only resume offering loans and rolling over existing debt once it has determined that what it sees as proper oversight and governance at the companies have been restored.

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Australian Dollar Rises to One-Month High as RBA Refrains From Cutting Rates

Wednesday, June 8th, 2016

Australia’s dollar rose to a one-month high and bond yields rebounded from the lowest ever as the central bank refrained from cutting interest rates.

The Reserve Bank of Australia left the benchmark rate at a record-low 1.75 percent, as forecast by all but one economist surveyed by news agency Bloomberg. Most expect the central bank to resume easing in August after a quarter-point reduction in May in response to a record-low core inflation reading.

“Last night’s RBA policy statement was judged as lacking an explicit easing bias,” said Jane Foley, a senior currency strategist at Rabobank International in London. “While this assessment has lent the Australian dollar significant support this morning, there are sufficient negative nuances contained within the RBA’s policy outlook to infer that the prospect of an August rate cut remain very strong.”

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