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PSG daily investment update 28 May 2019
Date: 28 May 2019 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 28 May 2019
South Africa
The JSE was steady on Monday afternoon notwithstanding the ongoing trade war between the US and China that has continuously suppressed risk appetite and dragged most emerging markets into negative territory. Shortly after the closing bell, the All Share had gained 0.28%.
United States
US markets were closed due to a public holiday.
Europe
European stocks traded higher on Monday following the outcome of the parliamentary elections which saw pro-Europe parties win the majority while speculation of a $35 billion merger between Fiat Chrysler and Renault was confirmed. At 18h00, the pan-European Stoxx 600 gained 0.22%.
Hong Kong
Hong Kong shares fell on Monday as investors awaited new policy developments that could minimise the impact from the US-Sino trade war amid the constant threat of a slowing economy. At 18h45, the Hang-Seng lost 0.15%.
Japan
Shares in Japan traded higher on Monday as investors kept an ear on the ground for details from trade talks between Washington and Beijing after Trump tweeted about the progress of the negotiations. At the closing bell, the Nikkei had gained 0.31%.
Rand
The rand fared worst against major global currencies on Monday afternoon as a blend of domestic and global catalysts, together with the raging US-Sino trade war, dragged most emerging markets into negative territory. At 17h40, the rand traded at R14.44 against the dollar.
Precious metals
Increased appetite for safe-haven assets amid a trade war between two of the world’s biggest economies pushed gold prices upward on Monday to reach a one-week high. At 17h45, spot gold was up trading at $1 2785.11 an ounce.
Oil
Supply disruptions in the Middle East contributed towards the firming of oil prices on Monday amid declining US crude inventories and an escalating trade war, after Washington and Beijing failed to reach a consensus. At 18h00, a barrel of Brent crude was trading at $72.57.
The JSE was steady on Monday afternoon notwithstanding the ongoing trade war between the US and China that has continuously suppressed risk appetite and dragged most emerging markets into negative territory. Shortly after the closing bell, the All Share had gained 0.28%.
United States
US markets were closed due to a public holiday.
Europe
European stocks traded higher on Monday following the outcome of the parliamentary elections which saw pro-Europe parties win the majority while speculation of a $35 billion merger between Fiat Chrysler and Renault was confirmed. At 18h00, the pan-European Stoxx 600 gained 0.22%.
Hong Kong
Hong Kong shares fell on Monday as investors awaited new policy developments that could minimise the impact from the US-Sino trade war amid the constant threat of a slowing economy. At 18h45, the Hang-Seng lost 0.15%.
Japan
Shares in Japan traded higher on Monday as investors kept an ear on the ground for details from trade talks between Washington and Beijing after Trump tweeted about the progress of the negotiations. At the closing bell, the Nikkei had gained 0.31%.
Rand
The rand fared worst against major global currencies on Monday afternoon as a blend of domestic and global catalysts, together with the raging US-Sino trade war, dragged most emerging markets into negative territory. At 17h40, the rand traded at R14.44 against the dollar.
Precious metals
Increased appetite for safe-haven assets amid a trade war between two of the world’s biggest economies pushed gold prices upward on Monday to reach a one-week high. At 17h45, spot gold was up trading at $1 2785.11 an ounce.
Oil
Supply disruptions in the Middle East contributed towards the firming of oil prices on Monday amid declining US crude inventories and an escalating trade war, after Washington and Beijing failed to reach a consensus. At 18h00, a barrel of Brent crude was trading at $72.57.
Our daily update
Yesterday we focused on inbound tourism statistics for South Africa, and in particular the number of tourists arriving in South Africa during the month of March 2019 from Europe. And the bulk of the 146 000 odd tourists arriving in South Africa from Europe came from the United Kingdom and Germany. 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.
The month of May continues to be negative, and this after 4 months of positive returns for the JSE All Share Index. As can be seen from the Calendar chart above the number of red blocks far outnumber the number of green blocks. It has been a pretty miserable month so far on the JSE, and May has wiped out almost half of the returns the market made in the first 4 months of 2019. Seems like sell in May and stay away is holding true.
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