Traders Corner

on . Posted in News Flash

Disappointing gains from US markets should keep our market subdued on the local front today, but miners are trading +1.5% this morning with Tencent also 0.7% higher. The Rand was last trading at R10.65/$, with gold at $1,307 an ounce. World futures are trading flat this morning.

Key macro events:

  • US: NFIB Small business optimism

  • US: Monthly budget statement

  • Japan: PPI

  • Japan: Industrial Production

 

Tradewise Report

on . Posted in News Flash

The Nikkei Index recovered strongly on Monday, recouping some of its steep losses from Friday on the back of the rally on Wall Street on easing tensions in Ukraine, while a weaker Yen also helped the share price of exporters.

The Hang Seng Index in Hong Kong, as well as the shares on mainland China climbed sharply on Monday, with property and financial shares leading the advance, after Beijing reported mild consumer inflation data on Saturday, which gave authorities room to further relax monetary policy.

According to Reuters, European markets are expected to open higher on Monday, after closing lower on Friday and extending its losses for a seventh time in eight trading sessions on the back of mounting geopolitical fears which increased risk aversion, after U.S. President Barack Obama authorised air strikes in Iraq.

Reuters reports that US markets closed lower to extend its recent weakness on Thursday as Russia banned imports of many Western foods in response to Western sanctions raised concerns about global growth, while the escalating conflict between Russian and Ukraine also had investors concerned.

Business Day reports that the JSE All Share Index pared earlier losses to close almost unchanged on Friday‚ending an eventful week with the focus squarely on the collapse of ABIL, whose share price fell a whopping 179% for the week to close at 31c, with Capitec, its closest competitor giving up 5.37%, while geopolitical tensions continued to weigh on global investor sentiment.

The Rand continued with its mild recovery on Monday on the back of easing risk aversion on global markets, while improved sentiment towards emerging market currencies also provided support. The Rand is trading at R10.6484 against the US Dollar, with the Euro quoted at R14.2768 and the British Pound at R17.8492.

The gold price edged lower in Singapore trade on Monday on the back of firmer equity markets, as well as outflows from the world's top bullion fund, but still managed to hold above the $1,300 an ounce level as investors remain concerned over the situation in the Middle East and Ukraine. Gold was last trading at $1,306.17, with the platinum price quoted at $1,464.50, while the palladium price has climbed to $857.10.

Brent was last trading lower at $105.08 a barrel.

Traders Corner

on . Posted in News Flash

US markets had a strong trading day into the close on Friday night, with +- 1% gains across the board. Asian markets are keeping the positive momentum going this morning, with FTSE futures also trading 0.5% higher. The Rand was last quoted at R10.66/$, with the gold price trading at $1,306 an ounce. There are no major macros out today.

Tradewise Report

on . Posted in Investment general

The Nikkei Index dropped 2.46% lower to trade near two-month lows on Friday, slipping below its 200-day moving average at the 14 958 points level, on worries that escalating geopolitical tensions between Russia and the West could hurt the global growth.

The Hang Seng Index closed higher after paring its earlier losses on Friday with shares on mainland China eking out slim gains in volatile trade, after the release of better-than-expected Chinese export growth data that showed 14.5% increase from a year earlier, which in the process offset concerns about the cooling housing market.

According to Reuters, European markets are expected to open lower on Friday, extending their week-long decline as tensions between the West and Russia continued to spook investors.

Reuters reports that US markets closed lower to extend its recent weakness on Thursday as Russia's response to banning imports of many Western foods in response to Western sanctions raised concerns about global growth, while the escalating conflict between Russian and Ukraine also had investors concerned.

Business Day reports that the JSE All Share Index closed in negative territory for the second straight day on Thursday, with ABIL’s share price giving up more than 81% on the day, while Africa’s biggest mobile phone operator MTN Group reported a 9% rise in first-half profit on the back of strong demand for its high-margin data services offset slow voice growth in South Africa.

The Rand is trading lower at R10.7905 against the US Dollar, with the Euro quoted at R14.4249 and the British Pound at R18.1179.

The gold price has climbed to a three-week high in Singapore trade on Friday after U.S. President Barack Obama authorised air strikes in Iraq, while growing fears that conflicts in Ukraine and the Middle East could sap global growth, spurring safe-haven demand in the precious metal. Gold was last trading at $1,318.66, with the platinum price quoted at $1,481.20, while the palladium price has climbed to $858.20.

Brent was last trading higher at $106.39 a barrel.