Working together

(28.7.04) Local equity markets closed 0.9% higher on the back of the weaker currency and world markets rebounding off low levels.

RMB AM and Business Day report that the currency weakened against the dollar (1.3%) but was stable against the pound and gained against the euro.

Bonds followed the currency and closed marginally softer. The stronger dollar pushed platinum and gold down while oil, surprisingly, closed higher.

European markets closed in the black yesterday, with the DAX leading the way gaining 1.64%. US markets rallied into positive territory with the Dow Jones gaining 1.24% and Nasdaq rising 1.64%, after Friday’s sell off.

The Far East is looking better this morning following yesterday’s positive world markets. The Hang Seng is currently trading higher by 0.3% and the Nikkei by 1.72%.

Local markets should continue the positive trend so far this week with rebounding world markets and the weaker rand both playing their part.