Profit taking
Local equity markets closed lower after some profit taking and resources loosing 1.29% in reaction to a stronger currency.
Nico Kelder, economist at the Efficient Group says that the currency traded stronger and gained against the majors, 0.8% to the dollar, and 1.09% to the sterling and 0.88% stronger against the euro.
Yields on the capital market closed stronger both the R153 and R157 shed 3 points. Commodities where mixed with platinum and gold marginally down 0.12% and oil gaining 1.08%.
European markets closed in the red yesterday on the back of lowered outlooks from companies like Unilever and Colgate-Palmolive.
US markets closed in the red – the Dow Jones shed 0.77% as the lower outlooks of the above companies as well as that of The New York Times sent stocks sliding in early afternoon trade. The Nasdaq closed almost unchanged shedding only 2 points.
The Far East is currently trading mixed with the Hang Seng higher by 0.52% and the Nikkei lower by -0.19%. Locally profit taking is expected to continue but Alan Greenspan speech may be positive for the dollar.
