Trump raises tariff demands in EU trade talks to 15-20% - FT
Market Scorecard
Wall Street shook off early jitters and closed in the green yesterday, as hopes of an interest rate cut got a boost. Trump called Powell a "numbskull" for not cutting immediately. Surely that’s unpresidential? The Fed chief knows his mandate, and is a sensible man. He has a committee and they think about this stuff deeply. They will assess the state of the US job market and inflation data and make the right call. Come on.
In company news, Oracle (NYSE:ORCL) said its cloud infrastructure revenue will surge more than 70% in the next year, sending its stock up 13.3%. Elsewhere, AI outsourcing company CoreWeave (NASDAQ:CRWV) is burning short sellers as its stock price keeps rising (+272% in six weeks since listing). Finally, Boeing (NYSE:BA) (-4.8%) and engine maker GE Aerospace (NYSE:GE) (-2.3%) both sank after an Air India 787 Dreamliner ploughed into the ground soon after take-off in Ahmedabad. Very upsetting.
Here’s the lowdown, the JSE All-share closed up 0.65%, the S&P 500 rose 0.38%, and the Nasdaq was 0.24% higher.
One Thing, From Paul
Here’s a Friday suggestion: trade the last hour of your day for the first one.
James Clear (the Atomic Habits guy) pushed this idea in one of his recent posts. He noted that the last hour of his day was usually pointless. "I am often awake from 10pm to 11pm, and I find that I tend to use the time poorly. Passively watching TV or scrolling on a screen. Late-night snacking. Overthinking things that are unimportant."
Conversely, the first hour of his day was often invigorating. "I’m usually asleep from 5am to 6am, but when I wake up early, I tend to enjoy it. Start the day slow. Watch the sunrise. Get a few things done before everyone else wakes up."
Just cancel your last hour by going to bed earlier, lights off, phone down, eyes shut. Then get up an hour earlier. Add some more exercise to your morning routine. Give that a try and see how it goes.
Bright’s Banter
Just because you’re making more money or sitting on a healthy balance sheet doesn’t mean you feel financially well. According to recent research, 12% of high-income, high-net-worth individuals still don’t feel satisfied with their finances.
Financial wellness comes from feeling in control of your day-to-day finances and secure about your future. You can earn more, upgrade your lifestyle (hello, lifestyle creep), or inherit a windfall and still be stressed, because managing money well requires knowledge, habits, and confidence, not just more income.
If you are feeling anxious, ask yourself: am I anxious about my money now or later? Once you’ve pinpointed the issue, you can figure out the tools or knowledge you’re missing, whether it’s budgeting, investing basics, or just having a plan. Then tackle it one step at a time.
Signing Off
Global markets are on the back foot this morning after Israel launched airstrikes against key nuclear and missile sites in Iran. There are reports of hits on senior military leaders in Tehran. Oil prices have spiked (+9%) and there are fears of an Iranian retaliation and a wider conflict.
Remember that the majority of geopolitical events do not matter for equity market performance over investment horizons of one month or longer.
In local company news, Naspers (JO:NPNJn) has issued a positive trading update, noting that earnings for the year to March will jump by as much as 96%. That’s thanks to two familiar heroes: better margins and faster growth in its e-commerce businesses, and a strong run from Tencent (HK:0700) (+23% this year).
US equity futures are deep in the red pre-market, because of those howling air-raid sirens in the Middle East. The Rand is at R17.96 to the greenback.
It’s tough out there, but we’ll be ok. Have a good weekend. It’s a three-day break here in South Africa, so you’ll hear from us again on Tuesday morning.