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In our continued efforts to give our readers a broad number of views, opinions and information, we continue to provide PSG's daily market updates and add our own daily inputs in at the end.
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Short summary of PSG's market commentary for 7 June 2019
South Africa
The local bourse ended Thursday flat in light of the weak rand pulling retailers and banks down while miners and rand hedges countered the drop. At the end of trade, the All Share rose 0.03%.
United States
US shares started Thursday on a positive note due to the potentially lower interest rates but remained cautious as US President Donald Trump fuelled fears around escalating the Chinese tariff war further. Shortly after the JSE closed, the Dow Jones was 0.32% up.
Europe
Despite the European Central Bank (ECB) keeping interest rates unchanged on Thursday as expected, most European markets only moved slightly due to disappointment that the ECB did not take a more dovish slant. The STOXX 600 closed 0.02% lower.
Hong Kong
The Hang Seng closed slightly higher on Thursday as positive sentiment about possible US rate cuts outweighed US-Sino trade war fears. At the end of trade, it was 0.27% in the green.
Japan
A day of mixed trade left Japan’s Nikkei closing flat on Thursday as investors grew increasingly concerned about the US’s trade wars, opting for investments with domestic exposure. At the end of trade, the Nikkei was down 0.01%.
Rand
The rand almost broke through the R15/$ barrier on Thursday, reaching an eight-month low, due to the unwavering pressure of poor economic data and local political uncertainty. At 21h50, the rand traded at R14.98 against the dollar.
Precious metals
Bullion prices continued to climb on Thursday thanks to expectations around US rate cuts, despite some investors cashing in their recent gains. At 21h50, an ounce of spot gold cost $1 333.81.
Oil
Oil prices surged on Thursday, recovering from an almost five-month low, due to a report indicating that the US might postpone implementing tariffs on Mexico. At 21h50, a barrel of Brent crude traded at $63.17
The local bourse ended Thursday flat in light of the weak rand pulling retailers and banks down while miners and rand hedges countered the drop. At the end of trade, the All Share rose 0.03%.
United States
US shares started Thursday on a positive note due to the potentially lower interest rates but remained cautious as US President Donald Trump fuelled fears around escalating the Chinese tariff war further. Shortly after the JSE closed, the Dow Jones was 0.32% up.
Europe
Despite the European Central Bank (ECB) keeping interest rates unchanged on Thursday as expected, most European markets only moved slightly due to disappointment that the ECB did not take a more dovish slant. The STOXX 600 closed 0.02% lower.
Hong Kong
The Hang Seng closed slightly higher on Thursday as positive sentiment about possible US rate cuts outweighed US-Sino trade war fears. At the end of trade, it was 0.27% in the green.
Japan
A day of mixed trade left Japan’s Nikkei closing flat on Thursday as investors grew increasingly concerned about the US’s trade wars, opting for investments with domestic exposure. At the end of trade, the Nikkei was down 0.01%.
Rand
The rand almost broke through the R15/$ barrier on Thursday, reaching an eight-month low, due to the unwavering pressure of poor economic data and local political uncertainty. At 21h50, the rand traded at R14.98 against the dollar.
Precious metals
Bullion prices continued to climb on Thursday thanks to expectations around US rate cuts, despite some investors cashing in their recent gains. At 21h50, an ounce of spot gold cost $1 333.81.
Oil
Oil prices surged on Thursday, recovering from an almost five-month low, due to a report indicating that the US might postpone implementing tariffs on Mexico. At 21h50, a barrel of Brent crude traded at $63.17
Our daily update
We take a look at South Africa's trade with the EU for the first quarter of 2019. And based on the numbers Germany is both our biggest export destination in the EU as well as the biggest supplier of imports from the EU. With it making up just over a third of South Africa's exports to and imports from the EU. The United Kingdom is a distant second place with around 16% of our exports to the EU going to the UK and about 10% of our imports from the EU coming from the UK
Read the full article here
Read the full article here
Our JSE All Share index daily performance calendar
Visit our JSE Calendar tracker page for a expanded version of the calendar below
The graphic below provides the daily returns of the JSE All Share Index (J203) on a calendar chart. Provides a great overview of the All share index over the course of the month. It will be updated daily with our daily investment update as received from PSG.
So after four very positive months on the markets the month of May bucked the trend and saw half the gains made during the first four months of the year on the JSE wiped out in one month. So what will the month of June 2019 hold for the markets? With trade war in full swing, Chinese manufacturing declining, Brexit worries continuing all we know is it is going to be a bumpy ride.
For more on daily market movements see our 2019 Calendar tracker.
But we as South African investors are losing out in Dollar terms. Largely due to continued Rand weakness not only over the short term but over the last couple of years. We continue to advise investors to take money out of South Africa and invest it offshore. Looking for ideas for investments to make? Go read this article
For more on daily market movements see our 2019 Calendar tracker.
But we as South African investors are losing out in Dollar terms. Largely due to continued Rand weakness not only over the short term but over the last couple of years. We continue to advise investors to take money out of South Africa and invest it offshore. Looking for ideas for investments to make? Go read this article