A flattish day

(23.7.04) Local markets closed more than 1% lower on the back of weaker world markets and profit taking locally yesterday.

The IT and resources sectors were the main causalities; IT shedding 3.46% and resources weaker by 2.02%.

The currency traded flat against the majors and no real action was seen in the South African bond market.

Commodities traded mixed with oil gaining 2.29%, gold fell 0.73% and platinum was unchanged at 829 US$. European markets closed in the red with the FTSE, DAX and CAC closing more than 1.5% lower.

US markets traded flat despite an announcement by Microsoft that its quarterly earnings rose 81%, but its forecast was weaker-than-expected and consequently Microsoft traded lower. The Hang Seng is currently trading up but the Nikkei is trading down by 0.72%.

A quite day is expected locally while the currency should continue to dominate the trend locally.