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PSG daily investment update 14 November 2018
Date: 14 November 2018 Category: Stock Market |
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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 rant at the end.
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Short summary of PSG's market commentary for 14 November 2018
South Africa
The ALSI barely moved after news broke that President Cyril Ramaphosa accepted the resignation of embattled Home Affairs Minister, Malusi Gigaba. Even a pause in the dollar's rally failed to lift the JSE on Tuesday, with miners under pressure and a continued fall by Naspers offsetting gains by local banks. The ALSI fell 0.29%.
United States
Global markets were mixed on Tuesday despite a sharp sell-off in tech stocks on Monday. Shortly after the JSE closed the Dow was flat at 25 410.73 points.
Europe
Global attention on Tuesday moved to Brexit negotiations and possible conflict within the Eurozone over the Italian budget deficit. Shortly after the ALSI closed the FTSE 100 was flat, while the DAX 30 was up 0.51% and the CAC 40 0.22% in the green.
Hong Kong
Markets in Asia recouped some losses on Tuesday after a report stated a Chinese top trade negotiator was preparing to visit the US before a meeting between the leaders of the world’s two largest economies. The Shanghai Composite Index rose 0.93% at the JSE’s close.
Japan
Riskier assets, including Asian equities, have been hurt by rising US interest rates. The US Federal Reserve is expected to tighten policy further in December. Japan’s Nikkei lost more than 2% at the JSE’s close yesterday.
Rand
The rand was mixed against major global currencies on Tuesday afternoon, firming slightly against the dollar, but slightly weaker against the euro and pound. At 17h00 the rand was trading R14.38/USD, R16.19/EUR and R18.55/GBP.
Precious metals
Gold slid below key support at $1 200 an ounce for the first time in a month on Tuesday as concerns over Italy’s budget, ongoing Brexit talks, and expectations for further US rate hikes, held the dollar near 16-month highs. At 17h00 gold traded $1 205 an ounce.
Oil
Domestic banks and retailers were given some support by a continued fall in the oil price yesterday, this time after US President Donald Trump once again took to twitter saying he thought oil prices should be lower, given current output. Brent crude was trading at $70.85 a barrel at 17h00.
The ALSI barely moved after news broke that President Cyril Ramaphosa accepted the resignation of embattled Home Affairs Minister, Malusi Gigaba. Even a pause in the dollar's rally failed to lift the JSE on Tuesday, with miners under pressure and a continued fall by Naspers offsetting gains by local banks. The ALSI fell 0.29%.
United States
Global markets were mixed on Tuesday despite a sharp sell-off in tech stocks on Monday. Shortly after the JSE closed the Dow was flat at 25 410.73 points.
Europe
Global attention on Tuesday moved to Brexit negotiations and possible conflict within the Eurozone over the Italian budget deficit. Shortly after the ALSI closed the FTSE 100 was flat, while the DAX 30 was up 0.51% and the CAC 40 0.22% in the green.
Hong Kong
Markets in Asia recouped some losses on Tuesday after a report stated a Chinese top trade negotiator was preparing to visit the US before a meeting between the leaders of the world’s two largest economies. The Shanghai Composite Index rose 0.93% at the JSE’s close.
Japan
Riskier assets, including Asian equities, have been hurt by rising US interest rates. The US Federal Reserve is expected to tighten policy further in December. Japan’s Nikkei lost more than 2% at the JSE’s close yesterday.
Rand
The rand was mixed against major global currencies on Tuesday afternoon, firming slightly against the dollar, but slightly weaker against the euro and pound. At 17h00 the rand was trading R14.38/USD, R16.19/EUR and R18.55/GBP.
Precious metals
Gold slid below key support at $1 200 an ounce for the first time in a month on Tuesday as concerns over Italy’s budget, ongoing Brexit talks, and expectations for further US rate hikes, held the dollar near 16-month highs. At 17h00 gold traded $1 205 an ounce.
Oil
Domestic banks and retailers were given some support by a continued fall in the oil price yesterday, this time after US President Donald Trump once again took to twitter saying he thought oil prices should be lower, given current output. Brent crude was trading at $70.85 a barrel at 17h00.
Our daily rant..
Yesterday South Africa finally received some good news with the Home Affairs Minister, Malusi Gigaga aka Malooty Gigaba has resigned, after it was found that he lied to parliament under oath. He has also been in the news for a leaked "sex tape" in which he was playing with himself. But the main reason its good for South Africa that he is gone, is the fact that he is seen as one of the main Gupta enablers in the whole State Capture saga. He was Home Affairs minister when they were naturalized. He was Minister of Public Enterprises in which he appointed a lot of Gupta cronies to State Owned Enterprises (SOE). And he had a very short stint as South Africa's Finance Minister. But not as short a stint as David "weekend special" Des Van Rooyen And we hope that for the good of South Africa that he is dragged to court for his involvement in state capture and locked away for a long long time.
Goodbye Malusi Gigaba. We hope you swop your fancy suites for a orange overall soon.
Goodbye Malusi Gigaba. We hope you swop your fancy suites for a orange overall soon.
Malusi Gigaba, former minister of Home Affairs, Finance and Public Enterprises