SA Company News:
The Johannesburg Stock Exchange All-Share Index was down 0.75% to the 70 731 level, with losses in mining shares. Sibanye was down 6%, Anglo was lower by 4% and Implats fell 3.6%. Anglo American Platinum has completed all the conditions precedent related to the sale of their joint 100% interest in Bokoni Platinum Mines. Bokoni will be sold to a wholly owned subsidiary of African Rainbow Minerals for a total cash consideration payable at closing of R3.5 billion. The effective date of the transaction is expected to be 1 September. Resilient Reit said that the company is evaluating its listing on the JSE and all alternatives with the objective of maintaining high standards of governance and reporting. Resilient will now engage with its shareholders and to take their views into account in its evaluations. Paper and packaging company, Mondi announced that it had reached a €1.5bn (R25bn) deal to sell its assets in Russia. The company did say it was looking to exit from the country due to the war in Ukraine. Mondi’s shares closed 10% higher to R335.96 per share on the back of this news. Discovery announced that contribution increases for the Discovery Health Medical Scheme (DHMS) for 2022 would increase by 7.9% and would be effective from 1 October 2022.
SA Economy:
South Africa’s government, labour unions and business representatives agreed to form working groups that will aim to find agreement on a plan for reviving the nation’s ailing economy. However, there is no definite time frame, the process is to be completed before the State of the Nation Address that will be delivered by the president in February 2023 said Matthew Parks from the Congress of South African Trade Union.
Global Economy:
India’s trade deficit was revised down to US$30 billion in July of 2022, compared to a preliminary estimate of US$ 31.02 billion and US$ 10.97 billion a year earlier. Hong Kong’s economy contracted 1.3% year-on-year in the second quarter of 2022, 0.1% short of the initially shown 4.0%, and following a downwardly revised first quarter 3.9% decrease. China’s central bank unexpectedly cut its key interest rates by 10 basis points (bps) to 2.75%, from 2.85% previously and the seven-day reverse repo rate to 2% from 2.1%. China’s retail sales rose by 2.7% year-on-year in July 2022, missing market estimates of 5% and after a 3.1% growth a month earlier.
Global Company:
The FTSE 100 closed 0.47% higher at 7 500. The Hang Seng Index fell 0.39% to 20 092 after five U.S.-listed Chinese state-owned enterprises (SOEs), whose audits are under scrutiny by the U.S. securities regulator, said on Friday that they would voluntarily delist from the New York Stock Exchange. In China, the Shanghai Composite is flat at 3 275. The Dow Jones Industrial Average rose by 1.27% to 33 761 while the S&P 500 climbed 1.73% to 4 280. Shares of Peloton rose 11% on Friday after the company said that it would cut about 800 jobs as well as raise prices on its exercise equipment, including treadmills and top-end bikes, to increase its revenue and improve cash flow.
Commodities:
Gold is flat at $1 792/oz, while Platinum is lower by 0.45% to $952/oz. Brent crude was 1.89% lower at $97.27 a barrel.
Currencies:
The rand traded at R16.27 against the US Dollar, R19.70 against British Pound, and R16.66 against the Euro. The Euro is slightly firmer against the US Dollar to trade at $1.0238.
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Market Indicators |
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| Commodities $ | Cross Currencies ($) | Major Indices | |||||
| Gold | 1792.20 | 0.01% | USD/ZAR | 16.27 | Top40 | 63996.00 | -0.97% |
| Platinum | 952.45 | -0.45% | GBP/ZAR | 19.70 | Dow 30 | 33761.05 | 1.26% |
| Brent | 97.27 | -1.89% | EUR/ZAR | 16.66 | S&P 500 | 4280.15 | 1.70% |
| Copper | 3.61 | -2.64% | EUR/USD | 1.0238 | FTSE | 7500.89 | 0.47% |
| Palladium | 2219.27 | -1.86% | USD/JPY | 133.32 | DAX | 13795.85 | 0.73% |
| Iron Ore | 113.00 | -0.44% | BITCOIN | 24206.10 | Shanghai | 3275.81 | -0.16% |
| Source: Moneyweb & Investing.com | |||||||