Daily Report 01 August 2022

SA Company News:

The Johannesburg Stock Exchange All-Share Index closed 0.5% higher at 68 934. On a monthly basis, the index ended 4.1% higher. Glencore PLC reported mixed production for the first half of the year. Glencore said that coal production grew by 14%, oil by 22%, nickel by 21% and cobalt by 40%. Copper production has however dropped by 15%, zinc by 17%, lead by 19% and gold and silver production each declined by 21%. Shares of Glencore shares closed higher by 3.35% at R93.29. In a trading update for the six months to end-June, MTN Group Limited said that its headline earnings per share (HEPS) will increase by between 40% and 50%. This translates to a range of 542 cents to 581 cents for the six-month period ended 30 June 2022. MTN’s financial results are expected to be released on Thursday, 11 August 2022.

SA Economy:

SA’s private sector credit grew by 7.53% year on year in June, making it the 12th consecutive month of increases. Credit extended to the corporate sector rose to 8.1% year on year in June from 4.5% in May, driven by increases in general loans, advances and overdrafts. Credit extended to households rose more moderately in June to 6.8% year on year from 6.4% in the previous month. The price of petrol is due to come down by R1.32 per litre on Wednesday, and diesel by around 90 cents per litre.

Global Economy:

The Euro Zone economy grew 0.7% in the second quarter, but the region’s prospects are worrying as Russia continues to reduce gas supplies. Several economists are expecting the Euro Zone to slide into a recession next year. The S&P Global India Manufacturing increased to 56.4 in July 2022 from June’s nine-month low of 53.9, beating market consensus of 53.8 and pointing to the strongest growth in the sector since last November. The Caixin China General Manufacturing PMI fell to 49.0 in July, missing forecasts for 50.4.

Global Company:

The FTSE 100 closed 1.06% higher at 7 423. Oil companies, BP and Shell climbed more than 2.5% each. The Hang Seng Index is flat at 20 529. Alibaba falling over 2%, after the US included the company on the delisting watchlist and shares of Tencent is lower by 1.3%. In China, the Shanghai Composite is up 0.2% to 3 260. The Dow Jones Industrial Average up 0.97% to end at 32 845 points, while the S&P 500 was up 1.42% to 4 130. Apple and Amazon reported earnings that beat expectations, Apple shares was 3% higher and Amazon.com has jumped almost 11%. Those gains from the two tech giants gave a boost to the rest of the technology sector.


Gold is lower by 0.36% to $1 760/oz, while Platinum is down by 1.27% to $892/oz. Brent crude fell 3.87% to $103 a barrel.


The rand traded at R16.65 against the US Dollar, R20.30 against British Pound and R17.02 against the Euro. The Euro is slightly firmer against the US Dollar to trade at $1.02.


Brent Oil Futures
Gold Futures
Top 40 Futures


Market Indicators

Commodities $ Cross Currencies ($) Major Indices
Gold 1760,64 -0,36% USD/ZAR 16,65 Top40 62474,00 0,49%
Platinum 892,70 -1,27% GBP/ZAR 20,30 Dow 30 32845,13 0,96%
Brent 103,05 -3,87% EUR/ZAR 17,02 S&P 500 4130,29 1,40%
Copper 3,56 1,69% EUR/USD 1,0216 FTSE 7423,43 1,05%
Palladium 2100,77 1,98% USD/JPY 132,57 DAX 13484,05 1,50%
Iron Ore 117,50 -0,43% BITCOIN 23190,30 Shanghai 3256,31 0,29%
Source:  Moneyweb & Investing.com