SOUTH AFRICA MARKET REVIEW
- South African markets closed in the red yesterday, pulled down by losses in mining sector stocks and as the threat of the Covid-19 pandemic clouds the economic recovery progress.
- Harmony Gold Mining (NYSE: HMY ), Gold Fields(JO: GFIJ ) and AngloGold Ashanti (JO: ANGJ ) dropped 4.2%, 4.0% and 3.9%, respectively.
- Platinum miners, Impala Platinum Holdings (JO: IMPJ ), Northam Platinum (JO: NHMJ ) and Royal Bafokeng Platinum (JO: RBPCBe ) declined 2.9%, 2.1% and 0.3%, respectively.
- On the other hand, banking firms, RMB Holdings (JO: RMHJ ), Capitec Bank Holdings (JO: CPIJ ) and Nedbank Group (JO: NEDJ ) gained 4.4%, 1.7% and 0.9%, respectively.
- The JSE All Share index declined 1.2% to close at 66,390.02.
- The UK market finished weaker yesterday, amid a stronger pound and as investors expressed caution ahead of the US earnings season.
- Taylor Wimpey (LON: TW ) and Persimmon (LON: PSN ) dropped 2.7% and 2.3%, respectively.
- Ocado Group (LON: OCDO ) shed 2.3%, as the lockdown eased. AstraZeneca (LON: AZN ) lost 0.9%, after it reported that a trial of its Farxiga drug for treating hospitalised COVID-19 patients did not produce statistically significant results.
- On the flipside, banking firms, Lloyds Banking Group (LON: LLOY ), Barclays (LON: BARC ) and NatWest Group (LON: NWG ) rose 2.6%, 1.3% and 1.1%, respectively.
- The FTSE 100 index declined 0.4% to close at 6,889.12.
US MARKET REVIEW
- US markets ended lower yesterday, as investors awaited corporate earnings session report.
- Apple (NASDAQ: AAPL ) fell 1.3%, after a report indicated that it plans to equip its Apple TV streaming devices with a built-in speaker and a camera for videoconferencing.
- On the contrary, Nvidia (NASDAQ: NVDA ) surged 5.6%, after its Chief Executive Officer (CEO) introduced a new central processing unit to crunch reams of data, with technology based on its acquisition target ARM Holdings (LON: ARM ), during its annual GTC conference.
- The S&P 500 index marginally fell to settle at 4,127.99, while the DJIA index declined 0.2% to close at 33,745.40.
- The NASDAQ index eased 0.4% to end the trading session at 13,850.00.
ASIA MARKET REVIEW
- Asian markets are trading higher this morning. In Japan, Mazda Motor (T: 7261 ) and Toyota Motor (T: 7203 ) have risen 1.1% and 0.9%, respectively.
- In Hong Kong, Sunny Optical Technology Group (HK: 2382 ) has dropped 0.7%.
- On the other hand, Alibaba (NYSE: BABA ) Group Holding has gained 3.4%, after the Chinese central bank announced that company’s financial technology affiliate Ant Group is to restructure as a financial holding company.
- Oil company, CNOOC (HK: 0883 ) has added 0.8%. In South Korea, Samsung Electronics (KS: 005930 ) has advanced 0.5%.
- The Nikkei 225 index is trading 1.1% higher at 29,851.68.
- The Hang Seng index is trading 1.0% firmer to trade at 28,727.53, while the Kospi index is trading 1.0% higher at 3,167.78.
- At 06:00 SAST today, Brent spot prices rose 0.7% to trade at $63.18/bl, extending previous session gains.
- Yesterday, Brent spot prices rose 0.1% to settle at $62.72/bl, on optimism over the pace of coronavirus vaccinations in the US and after Yemen’s, Iran-aligned Houthi movement announced that it had fired 17 drones and two ballistic missiles at Saudi targets, including towards Saudi Aramco (SE: 2222 ) refineries in Jubail and Jeddah.
- Yesterday, the Illinois North Central No.2 Yellow corn spot prices fell 1.9% to $5.6/bushel.
- At 06:00 SAST today, gold prices advanced 0.1% to trade at $1,734.78/oz. Yesterday, gold declined 0.6% to close at $1,732.76/oz, as an uptick in US Treasury yields weighed on safe haven metal’s appeal.
- Yesterday, copper declined 0.8% to close at $8,864.25/mt. Aluminium closed 0.1% lower at $2,245.50/mt.
- Yesterday, the South African rand strengthened against the US dollar. In the US, the Boston Federal Reserve Bank President Eric Rosengren stated that the US economy could see a significant rebound this year thanks to accommodative monetary and fiscal policy, but the labour market still has much room for improvement.
- The yield on benchmark government bonds mostly rose yesterday. The yield on 2026 bond rose to 7.52%. Further, the yield on 2023 bond declined to 5.13% while that for the longer-dated 2030 issue rose to 9.32%.
- At 06:00 SAST, the US dollar is trading marginally higher against the South African rand at R14.5775, while the euro is trading 0.1% lower at R17.3442. At 06:00 SAST, the British pound has marginally declined against the South African rand to trade at R20.0296.
- Yesterday, the euro declined against most of the major currencies. Meanwhile, the eurozone retail sales rose on a monthly basis in February, despite the rise in coronavirus infections and the tightening of restrictions across the continent.
- At 06:00 SAST, the euro slipped 0.1% against the US dollar to trade at $1.1898, while it has weakened 0.1% against the British pound to trade at GBP0.8658.
- In March, on a YoY basis, retail sales across all sectors advanced 20.3% in the UK. Retail sales across all sectors had registered a rise of 9.5% in the prior month.
- In the eurozone, the seasonally adjusted retail sales rose 3.0% in February on a monthly basis, compared with a revised fall of 5.2% in the prior month. Markets were expecting retail sales to rise 1.0%.
- The US has reported a budget deficit of $660.00bn in March, from a budget deficit of $311.00bn in the prior month. Market expectations were for a budget deficit of $265.00bn.
- Trade surplus in China narrowed to $13.80bn in March. China had registered a trade surplus of $103.26bn in the prior month.
- Sirius Real Estate Ltd (JO: SREJ ) The property investment company, in its FY21 trading update, stated that the company witnessed 7.6% growth in total annualised rent roll to EUR97.20mn. Total occupancy increased to 87.0% with like for like occupancy increasing to 86.9%.
- Sygnia launches new exchange-traded fund: Sygnia, the asset manager founded by Magda Wierzycka, has launched a new exchange-traded fund (ETF), giving investors exposure to overseas companies that promote sustainable investment.
- UK’s Hammerson (LON: HMSO ) in talks to sell retail parks portfolio: Hammerson, one of the largest UK mall owners that was buffeted by Brexit and more recently Covid-19, confirmed that it was in talks to sell some of its retail parks to a Canadian private equity group, in a deal it says will strengthen its balance sheet.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.