South Africa’s 10-year government bond yield ticked up to around 9.61%, though remaining close to the seven-month low of 9.56% recorded on August 25. Investors continued to track global central bank signals, with expectations of US Federal Reserve rate cuts supporting demand for the country’s higher-yielding bonds. Domestically, analysts remain divided on whether the Reserve Bank will cut rates or maintain its current path. Inflation rose to 3.5% in July, the highest in ten months, up from 3% in June. Governor Kganyago has noted that the increase is expected to be temporary, with inflation projected to return to around 3% over the medium term. While inflation remains relatively low, its upward trend complicates the case for rate cuts. For now, the Reserve Bank is likely to keep rates unchanged, prioritizing its goal of keeping inflation around 3%. In parallel, slower global growth and higher US tariffs on South African exports continue to weigh on economic prospects.