Africa ETF News Older Than 1 year-If your looking for specific news, try using the search function
Rand in red as rates held steady
September 22, 2011--The Reserve Bank left its repo rate unchanged on Thursday and struck a dovish note as it balanced its concerns for domestic economic growth with an expected increase in inflation stemming from a sharply weaker rand.
Governor Gill Marcus said the bank’s monetary policy committee (MPC) discussed a cut in the benchmark lending rate from its current 30-year low of 5.5%, although the final decision to keep it on hold was unanimous.
The rand hit fresh 26-month lows to the dollar and bonds trimmed losses after the MPC statement.
read more
Source: FIN24
Consumer inflation stays flat
September 21, 2011--South Africa's targeted consumer inflation was unchanged at 5.3% year-on-year (y/y) in August compared with July, below market consensus, Statistics South Africa data showed on Wednesday.
Stats SA said inflation slowed more than expected to 0.2% month-on-month (m/m) from 0.9% in July.
read more
Source: FIN24
JSE inches lower with eye on US Fed
September 21, 2011--South African stocks ended a choppy session little changed on Wednesday as investors refrained from making large moves ahead of the outcome of a US Federal Reserve meeting.
But major gold miners climbed between 3% and 4% as a tumbling domestic currency provided support.
The rand fell three percent during the session, a boost to gold miners whose product brings in dollars but whose domestic costs are mainly in rand.
read more
Source: FIN24
Bonds gain after soft CPI data
September 21, 2011--Government bonds gained on Wednesday after softer-than-expected inflation data that boosted the chances of an interest rate cut.
The yield on the 2015 bond fell to 6.83% from 6.89% prior to the inflation release at 08:00 GMT. The yield on the 2026 note was at 8.385% from 8.415% beforehand.
The rand softened slightly to R7.81 against the dollar at 08:33 GMT, from R7.7805 before the inflation release.
read more
Source: FIN24
Battered rand tipped to hit R8.00/$ soon
September 21, 2011--The rand tumbled nearly 3% to hit 16-month lows against the dollar on Wednesday as importers piled into the greenback, spooked by a recent trend of sharp declines that dealers said would continue.
In the early evening, the rand was trading at R7.8720/$, 1.7% weaker than Tuesday’s New York close of R7.74 and having hit R7.9650, its weakest since May 2010.
With over 5% of losses so far this week, the rand was on track to register its biggest weekly decline since May 2009.
read more
Source: FIN24
JSE rebounds, helped by miners
September 20, 2011--South African stocks rose to their highest level in more than six weeks on Tuesday, bouncing back from the previous session’s decline, with gold miners among the top gainers as the domestic currency falters and bullion prices cruise higher.
Grindrod also featured on the gainers’ list after Africa’s top shipping company said it would sell a stake to Remgro in exchange for a R2bn capital injection.
The JSE Top-40 Tradeable [JSE: J200] blue-chip index was up 1.41% at 28 043.66, a level last seen on August 1. The broader All-share [JSE:J203] index added 1.24% to 31 343.9.
read more
Source: FIN24
Rand gets boost from bond buying
September 20, 2011--The rand pared earlier losses against the dollar on Tuesday, bouncing from a 14-month low as investors bought bonds in a corrective move after a sharp sell-off last week.
Foreigners sold a net R6bn of local bonds last week as worries about the eurozone debt crisis deepened and expectations for a domestic interest rate cut were curbed by a sharp depreciation of the rand .
"After the sell-off last week, local bonds are looking quite attractive from a foreign perspective," said Chris Becker, market analyst at ETM.
read more
Source: FIN24
JSE negative, follows world markets
September 19, 2011--The JSE remained in the red at noon on Monday, as the local market continued to track global markets downwards.
A local trader said: "Volumes haven't been terribly exciting today and markets are still weak. Gold stocks continue to be the only performing sector. In certain cases, the rand hedges are helping stocks."
By 12:03 local time, the JSE All Share [JSE:J203] index weakened 0.77%. Gold picked up 3.41%, while platinum miners dropped 1.24% and resources were down 0.88%.
read more
Source: FIN24
Bonds weaken as selling continues
September 19, 2011--South African bonds weakened further in midday trade on Monday, as foreign players continued to offload local bonds on the back of Europe's debt problems.
According to Dow Jones Newswires, the lack of progress in solving the debt crisis at Friday's eurozone finance ministers meeting had heightened investor uncertainty.
By 11:50, the benchmark R157 bond was trading at 6.935% from its previous close of 6.770%. The R207 was bid at 8.100% and offered at 8.080% from 7.915% and the R186 was trading at 8.370% from its close of 8.190%.
read more
Source: FIN24
Rand sinks to new low against dollar
September 19, 2011--The rand fell over 2% against the dollar on Monday to its weakest level in over a year, with investors dumping higher risk assets on signs that the eurozone debt crisis is far from over.
The rand’s losses may see the market curb expectations of a rate cut over the next few months, especially after Finance Minister Pravin Gordhan said earlier South Africa’s inflation was persistent.
read more
Source: FIN24
