A slow week

The JSE Securities Exchange gained a conservative 0.52% last week with much of the gains being realized on Friday (+0.22%).

The Efficient Group reports that the sparkling stars on the bourse were resources group Kumba (+8.78%) and telecommunication group Telkom (+6.28%). Retailers (-1.32%) and financials (-0.61%) were strangely regarded as rubbish on Friday.

The rand gained 0.82% against the dollar last week, with small advances against the other major currencies on Friday. Gold climbed by 1% during last week’s trading with platinum still undecided.

US equity markets were speeding ahead as healthy producer prices and industrial output data indicated a non-inflationary economy.

US markets rose by 0.65% across the board. European indices closed in the black with the CAC 40 (+0.53%) rallying ahead. The eastern indices are currently all green with the Nikkei 225 up 0.43% and the Hang Seng plus 0.55%.

We expect the SA equity market to trade higher today on the back of the strong performance of the overseas markets and a continued weaker rand.