Morning report (23.4)

Local equities closed flat yesterday after the announcement of the MPC, reports Nico Kelder, economist at the Efficient Group.

Bond yields traded lower on evidence that interest rates will only start to increase later than previously expected. The currency remained stable against the dollar but weakened against the euro and pound while the dollar weakened against the euro.

Gold and oil traded higher yesterday on the back of the weaker dollar but platinum dropped $40/oz or 4.5%. European and US markets traded higher gaining around 1% each.

Far Eastern markets are in positive territory so far this morning gaining around 1%.

We expect that local markets should trade lower, as the biggest companies are exposed to platinum and the rand is slightly stronger. Non-commodity companies should trade higher.