Daily Report 08 August 2022

SA Company News:

The Johannesburg Stock Exchange All-Share Index up 1.17% to the 69 519 level.In a trading update for the six months to end-June, Impala Platinum said that headline earnings per share are expected fall by between 8% and 16% to between R30.5 billion and R33.5 billion. The company said that intermittent strikes and load-shedding put pressure on Impala Rustenburg, while in Canada, supply-chain issues hampered operational productivity. Implats shares closed higher by 1.91% to R181.71 per share.AngloGold Ashanti shares rose 2% on Friday after the company reported that its first-half production rose by 3% year on year to 1.233 million ounces of gold, putting it on track to meet their 2022 output guidance of between 2.55 and 2.8 million ounces. However, headline earnings per share came in at 71 US cents, down 18% from a year earlier. AngloGold Ashanti declared an interim dividend of $121 million (about R2 billion), or R4.93 per share.       Capitec Bank suffered systems failure with its online banking portal, app and USSD services suffering their second day of outages on Friday. Capitec’s systems problems is the latest in a series of crashes that have confused some of SA’s most prestigious banking brands in recent months.In a trading update from Master Drilling, the company said that the company’s earnings per share (EPS) for the 6 months ended 30 June 2022 are expected to be between 47.2% and 67.2% higher to be between 128.40 and 145.80 cents per share when compared to the previous comparative period. Master Drilling’s interim results are expected to be released on SENS on or about Tuesday, 30th of August 2022.


SA Economy:

President Cyril Ramaphosa has confirmed that negotiations for Eskom to import surplus electricity from Botswana has begun. Ramaphosa also said that the Botswana government has shown a willingness to sell excess electricity to South Africa in a bid to strengthen economic and trade ties.Nedbank economists said that food inflation may have peaked and will likely start easing from next month. Food inflation is expected to reach 10% in July before easing back to around 7% in August.


Global Economy:

The U.S. economy added 528 000 jobs in July, more than double expectations. The unemployment rate dropped to 3.5% and average hourly earnings grew by 0.5%.China’s exports increased by 18% year-on-year to a seven-month high of US$ 332.96 billion in July of 2022, beating market forecasts of 15%.China’s trade surplus rose to a record peak of US$ 101.26 billion in July 2022 from US$ 55.89 billion.


Global Company:

The FTSE100 fell 0.11% to 7 439.The Hang Seng Index fell 0.79% to 20 043, as news of new Covid-19 outbreaks in some areas continue to weigh on sentiment. Technology shares pulled the broader index lower, with Alibaba Group falling 4.47% while Tencent was down 2.34%.In China, the Shanghai Composite fell 2.3% to 3 079. China Evergrande pulled out of a plan to build the world’s largest soccer stadium. The property developer said it would receive a refund equivalent to about $818 million which they intend to repay some of their debt. The Dow Jones Industrial Average rose by 0.23% to 32 803 while the S&P 500 fell 0.16% to 4 145.Tesla approved a three-for-one stock split, the company said that it will make share ownership more accessible to investors. Trading will begin on a stock split-adjusted basis on the 25th of August. Tesla’s share price closed 0.29% lower.



Gold is down 0.95% to $1 774/oz, while Platinum is lower by 1.59% to $918/oz. Brent crude was 1.33% firmer at $95.76 a barrel.



The rand traded at R16.79 against the US Dollar, R20.27 against British Pound, and R17.09 against the Euro. The Euro is slightly weaker against the US Dollar to trade at $1.0181.



Brent Oil Futures
Gold Futures
Top 40 Futures


Market Indicators

Commodities $ Cross Currencies ($) Major Indices
Gold 1774.12 -0.95% USD/ZAR 16.79 Top40 63114.00 1.25%
Platinum 918.35 -1.59% GBP/ZAR 20.27 Dow 30 32803.47 0.23%
Brent 95.76 1.33% EUR/ZAR 17.09 S&P 500 4145.19 -0.16%
Copper 3.55 0.14% EUR/USD 1.0181 FTSE 7439.74 -0.11%
Palladium 2120.00 0.97% USD/JPY 135.38 DAX 13573.93 -0.65%
Iron Ore 111.50 -0.45% BITCOIN 23722.40 Shanghai 3235.94 0.45%
Source:  Moneyweb & Investing.com