Rand strengthens as Cyril makes all the right noises

Great week on the JSE, the Rand traded below $12USD for the first time since April 2015 and the stock market ended almost a percent higher (despite the stronger Rand) – great combination of Cyril making all the right noises in Davos, the weaker dollar and stronger commodity prices. It was also a good week generally for resources, banks and retailers - except Woolworths which wrote down R7bn related to David Jones in Australia... turning out to be not-their-best purchase. Steinhoff did a private placement of PSG shares, raising R7.1bn. Offshore though, Richemont has now purchased all the shares in Yoox-Net-a-Porter. Adapt IT released some exceptional results, with organic growth jumping 17% (versus previous 4%). CPI Inflation came out slightly higher than expected at 4.7%, but still well within the 3-6% target range. In the US, GDP printed at 2.6% for the fourth quarter.
28 Jan 2018 English South Africa Business · Investing

Other recent episodes

Mr at the right Price

Mr Price is raising capital through an age old method. Are we going to see a scramble to capture Edgars' market share if they don't survive after lockdown? Investec are navigating murky waters after Brexit and Covid-19 have restrained business activity. Are food retailers Covid-proof? Chinese stocks are feeling the…
25 May 2020 11 min

Survive, not Thrive

Though JSE share value is down, this is no time to panic, Exchanges recover from crashes rather quickly. With the UK's GDP contracting 2% in the first quarter and 33 million jobs lost in America, how will this affect consumer spending as lockdown eases? Group Five will be delisting after…
18 May 2020 16 min

Market reality vs Street reality

The economic reality on the street vs the markets is worlds apart. Is it good when the yield is up? What exactly are foreign reserves? Is Covid-19 enforced redundancy just an excuse for businesses who were on the brink anyway? And the US job loss numbers have gone beyond the…
11 May 2020 18 min

Edcon & Comair in trouble while Spotify flies

Another positive week for the JSE, as investors turn positive on the news that quite a few countries are lifting lockdown restrictions. S&P ratings agency downgraded SA further into junk status, but the Rand is still holding below 19/US$. Edcon has filed for voluntary business rescue, as Comair find themselves…
4 May 2020 13 min

Volatile is the new norm

Why doesn't the Stock Market close when all other businesses have to? Who legislates the JSE? Are traders adjusting to volatility as the new norm on the market? While the Rand hit an all-time low, Anthea details what micro and macro factors could lead to inflation if we are not…
28 Apr 2020 15 min