Stanlib Morning Market Commentary Thursday 12th June 2014 The US market was down 0.4% last night on very quiet trading (2nd quietest of the year, which is normal for summer), Europe -0.8% and London -0.5%. Asian markets are down too, with the Nikkei -0.7%, Hang Seng -0.2% (but Tencent +1.9% and +9% in the past week) and Aussie -0.4% (Billiton -0.5%). Bond yields are flat in the US at 2.64%, and our SA government 13-year bond yield is up again at a 6-week high of 8.44% on fears of a possible rating downgrade on Friday by Fitch and/or Standard & Poor. Interestingly, foreigners were buyers of our bonds yesterday +R233m and also R593m of our equities. Year-to-date the number is up to R13.1bn. The JSE All Share Index fell just 0.2% yesterday to 50,659. Today at around 10am apparently AMCU is to present an offer to the Platinum companies. Interesting, you’d think AMCU was the employer! The dollar is stronger this morning at $1.354 to the euro but flat at $1.68 to the pound. The rand is weaker (despite the bond buying), at 10.76 today to the dollar (from 10.71), 18.07 to the pound, 14.56 to the euro and a record low of 10.10 versus the Aussie. Paul Hansen Director: Retail Investing Stanlib Wealth Management stanlib
Posted on: Thu, 12 Jun 2014 09:59:17 +0000