Tradewise Report

on . Posted in Investment general

The Nikkei Index rose on Friday after the S&P 500 set another record closing high and as the index heavyweight
Fanuc Corp soared after reporting strong profits. For the week, the index looked set to gain 1 percent.
The Hang Seng Index hovered around its highest in more than three years, while the share index slipped slightly on
profit-taking. Shares are headed for their best weekly gain in 3-1/2 months on Friday, powered by continued strength
in blue chips and bank stocks.
Reuters reports that European markets rose on Thursday as better-than-expected economic data and some strong
corporate results in Spain injected optimism about the region's recovery. European indexes were further helped by
telecoms gear maker Nokia, up 7.3 percent after it revealed a stronger-than-expected quarterly profit margin in its
core networks unit.
According to Reuters, U.S. markets closed flat on Thursday as earnings and data painted a mixed picture of the
economy, though the S&P 500 set another record closing high. The latest economic data failed to impress buyers.
Recent gains on Wall Street have been powered by earnings, which have been strong this quarter. Facebook Inc.
jumped 5.2 percent to $74.98 and hit an intraday record high of $76.74 a day after the world's No. 1 social network
reported earnings and revenue that beat expectations.
Business Day reports that the JSE All Share Index closed lower on Thursday as the market failed to gather support
from positive global markets as lower commodity prices dragged down mining stocks. The all share index was 0.56%
lower at 51.621.52 points at the close. with the blue-chip top 40 down 0.63%. Gold led the decliners. down 3.16%.
followed by resources losing 0.85%. Banks were up 0.19% with financials ending the day flat.
The Rand convincingly broke through 10.5000 per dollar resistance on Thursday, buoyed by euro gains and the
possibility of an end to a three-week metal workers' strike. However, strike concerns, global geopolitical risks and a
generally poor domestic economic outlook could see the rand resume a weaker trend. Today the Rand is trading
slightly weaker at R10.5376 against the US Dollar, with the Euro quoted at R14.1893 and the British Pound at
R17.8703
Gold retained sharp overnight losses to trade near a five-week low on Friday and was headed for a second straight
week of losses, as strong global economic data offset the metal's safe-haven appeal. The gold price last traded at
$1,291.52, with the platinum price quoted at $1,470.60, while the palladium price is trading at $870.25.
Brent was last trading lower at $107.17 a barrel.

Traders Corner

on . Posted in News Flash

We are without direction this morning as the US saw flat closes last night and with Asia also lacking direction. The Rand is a touch softer this morning, currently at R10.53/$, with gold last at $1292 an ounce. World futures are trading -0.1%

Key macro events:

  • US Durable goods orders

Tradewise Report

on . Posted in Investment general

The Nikkei Index slipped lower on Thursday, with investors preferring the side lines ahead of Chinese manufacturing data due later in the day, while a slightly weaker Yen did little to provide support as geopolitical tensions over Ukraine and Gaza kept trading activity muted.

The Hang Seng Index jumped higher on Thursday, boosted by a preliminary HSBC survey that showed China's factory activity expanded at its fastest pace in 18 months in July as new orders surged, while investors continued to move more funds into the market on expectations of some changes that will see it much easier for foreigners to buy Shanghai stocks.

Reuters reports that European markets closed in positive territory on Wednesday, consolidating after Tuesday’s strong rally as traders mulled over mixed earnings results and the likelihood of new EU sanctions against Russia over Ukraine and the shooting down of a Malaysian airliner.

According to Reuters, U.S. markets closed mostly firmer on Wednesday on the back of Apple’s share price surging 2.6% higher on bullish earnings results, while Facebook posted stronger-than-expected revenue growth after the market closed, although the shares of Boeing weighed on the Dow and conflicts in Ukraine and the Gaza Strip put a limit on market gains.

Business Day reports that the JSE All Share Index ended slightly lower in mixed trade on Wednesday‚with US and European markets not providing much direction either, while platinum shares led the decliners‚but banking shares surprised many people as further interest rate increases may still happen this year.

The Rand is trading firmer at R10.5222 against the US Dollar, with the Euro quoted at R14.1585 and the British Pound at R17.8908.

The gold price dropped below the key support level of $1,300 an ounce in Singapore trade on Thursday, as demand for the precious metal eased off mainly on the back of bullish equity markets. The gold price last traded at $1,295.26, with the platinum price quoted at $1,473.80, while the palladium price is trading at $866.00.

Brent was last trading higher at $108.20 a barrel.

Traders Corner

on . Posted in News Flash

US markets saw mixed closes last night, with Facebook jumping 5.5% on results topping estimates, and Boeing losing 2%, even as the company lifted its earnings outlook for 2014. Asian markets are also pointing in different directions this morning, with our usual catalysts Tencent and BHP Billiton trading 0.3% higher. Gold is trading below the $1,300 level, trading at $1,297 an ounce, with the Rand stable at R10.52/$. World futures are trading flat this morning.

Key macro events:

    • US: Initial jobless claims
    • US: Markit manufacturing PMI – exp:57.5
    • US: Bloomberg consumer comfort
  • US: New home sales