Investments / Economy

The tail wagging the dog – how politics is driving the value of the rand

In recent years the financial market landscape has changed dramatically, and the way we analyse countries and their risk has followed suit.

World market turbulence in October saw $2 trillion loss

World markets faced turbulent times throughout October, with an estimated loss of $2 trillion. The month started positively, in reaction to positive NAFTA trade talks between the three major North American countries: US, Mexico and Canada. The Dow Jones did well as a result, with big manufacturing names such as Boeing stocks seeing increases. A staggering drop in the technology sector pushed Amazon down over 8%, with Microsoft trailing due to poor earnings figures. This caused the Nasdaq, Dow Jones and S&P 500 (with over 20% exposure to technology shares at September’s end) to drop significantly. The Dow is now at its third lowest point in history. The exception was Netflix, where positive earnings led to a 10% increase in the stock price.

“Review investments and seek international opportunities, investors warned”

Doing nothing is now not an option for those who are serious about creating, growing and safeguarding their wealth.

New investments can drive economy forward