Thursday, 24 November 2011 - 20:00
S.Africa's rand off 30-month lows, bonds mixed
By Phumza Macanda
JOHANNESBURG (Reuters) - South Africa's rand firmed against the dollar on Thursday, bouncing from 30-month lows but remains vulnerable to how heavily the euro crisis weighs on risk appetite.
A close stronger than 8.50 will be seen as a sign that the rand might not weaken further.
Trading volumes were thinner as U.S. markets were closed for Thanksgiving holiday.
Government bonds were mixed and yields, which move inversely to the price, were off two-month highs after sharp losses in the previous session.
The rand was trading at 8.4830 to the dollar at 1610 GMT, 1.2 percent stronger than Wednesday's New York close of 8.5850.
"The domestic currency has pulled back somewhat, likely on profit taking, and it could even move right back to 7.95/dollar - the quarter average to date," said Annabel Bishop, economist at Investec in a note.
Bishop said there was a 50 percent chance it could end the year at 7.95 if the euro zone "institutes a range of measures which will convince markets that its sovereign debt crisis will not spill over into a financial meltdown (without further bad news from the U.S. or other major economies)".
The rand has lost has lost over 28 percent against the dollar so far this year, mainly as investors dump risky assets on worries about how deep the euro crisis will go.
Finance Minister Pravin Gordhan is due to speak at around 1800 GMT in Johannesburg and may re-iterate government's concerns about the impact of the euro zone crisis.
On fixed income, the yield on the 2015 bond was down two basis points to 6.98 percent and that on the 2026 issue was up 0.5 basis points to 8.66 percent.
"The R157 yield still targets levels of 7.10 in the short-term, where an overhead trendline is expected to give some support, and see bids return to market," said Tradition Analytics in a note.
"In light of the rand sell-off and substantial rise of bond yields, interest must be piqued in a big way for foreigners to up exposure to domestic bonds once again."
Thu, 24 Nov 2011
South Africa stocks rose 0.9 percent on Thursday, as retailers such as Shoprite recovered from a recent sell-off, but broader gains were limited by renewed concerns about the outlook for the euro zone debt crisis.
South Africa's ruling ANC is looking at ways to finance its efforts to boost jobs in agriculture and mining, which may include getting pension funds to buy more bonds, the head of its economic transformation committee said on Thursday.
Egyptian protesters and police observed a truce on Thursday after violence that has killed 39 people in five days, but said they would intensify pressure for an end to army rule with a mass rally on Friday in Tahrir Square backed by trade unions.
The Arab League said on Thursday it was giving Syria 24 hours to sign a deal to accept Arab monitors under a plan to end an eight-month crackdown on protests, or risk sweeping economic sanctions.
Gunmen killed at least five people protesting against a deal to end the rule of Ali Abdullah Saleh in Yemen's capital on Thursday, a day after the president bowed to pressure and agreed to step down, while the army killed 17 Islamists in the south.
Shareholders are advised that all of the ordinary and special resolutions proposed at the AGM of Sasfin held today, 24 November 2011, were approved by the requisite number of shareholders. The. . .
Coal advised that the company and the Save Mapungubwe Coalition (the coalition), consisting of the Endangered Wildlife Trust, BirdLife South Africa, Wilderness Foundation South Africa, World Wide Fund for Nature South. . .
Business Day reported that Grindrod aims to almost double coal-handling capacity at the Matola terminal in Mozambique to 4.5 million tons. Grindrod's commercial executive, Craig Grinyer, said that the terminal currently. . .
World Markets (Spot Prices)
|JSE Top 40||17:05||27848.75||240.07||0.87%|
|JSE Indust 25||17:00||27936.20||305.16||1.10%|
|Rand / Dollar||19:58||8.4764||-0.0847||-0.99%|
|Rand / Pound||19:55||13.1040||-0.1777||-1.34%|
|Rand / Euro||19:55||11.3087||-0.1327||-1.16%|
|Rand / NZD||19:58||6.2776||-0.0564||-0.89%|
|Rand / AUD||19:55||8.2498||-0.0725||-0.87%|
|Yen / Dollar||19:59||77.0600||-0.2220||-0.29%|
|Euro / Dollar||19:55||0.7496||0.0006||0.08%|
|Dollar / Euro||19:59||1.3339||-0.0010||-0.07%|
|Pound / Dollar||19:55||0.6453||0.0016||0.25%|
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The JSE Today
|Index Name||RP||Move||% Move|
|Financial & Ind. 30||30,703.73||365.52||1.20%|
|Oil & Gas ||28,352.65||503.07||1.81%|
|Oil & Gas Producers ||15,244.70||270.50||1.81%|
|Basic Materials ||27,893.38||69.28||0.25%|
|Forestry & Paper ||11,273.67||106.31||0.95%|
|Industrial Metals ||28,411.33||273.34||0.97%|
|General Industrials ||76,290.92||518.83||0.68%|
|Consumer Goods ||28,568.77||207.50||0.73%|
|Automobiles & Parts ||3,863.17||-9.05||-0.23%|
|Health Care ||34,183.29||426.75||1.26%|
|Index Name||RP||Move||% Move|
|Food Producers ||51,700.70||733.32||1.44%|
|Personal Goods ||410.49||5.29||1.31%|
|Consumer Services ||55,515.65||865.80||1.58%|
|General Retailers ||46,686.36||734.56||1.60%|
|Travel & Leisure ||3,621.73||-15.98||-0.44%|
|Support Services ||2,179.72||-3.34||-0.15%|
|Non-life Insurance ||33,488.00||24.25||0.07%|
|Life Insurance ||15,824.91||185.39||1.19%|
|General Financial ||2,104.70||24.64||1.18%|
|SHARIAH TOP40 ||3,010.99||21||0.69%|
|FTSE/JSE SHARIAH ALL||3,073.54||20||0.66%|
|FTSE JSE Fledgling ||4,549.73||37||0.81%|
|FTSE/JSE Alt X ||1,385.16||-1||-0.08%|
|SA LISTED PROPERTY ||376.57||-0.01%|
|CAPPED PROPERTY ||307.88||-0.27%|
|FTSE/JSE RAFI 40||6,410.82||51||0.81%|
|Capped Top 40||14,674.52||135||0.93%|
|Capped All Share||15,775.55||126||0.80%|
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Latest Consensus Changes**
|CFR||COMPAGNIE FIN RICHEMONT||BUY||22 Nov|
|EMI||EMIRA PROPERTY FUND||HOLD||22 Nov|
|CSO||CAPITAL SHOPPING CENTRES ...||HOLD||22 Nov|
|TKG||TELKOM SA LIMITED||SELL||22 Nov|
|ACP||ACUCAP PROPERTIES LIMITED||HOLD||22 Nov||
|Expected||Company Name||Fin. Date|
|25 Nov 2011||NEW CPA||August 2011 (Final)|
|25 Nov 2011||QUANTUM||August 2011 (Final)|
|28 Nov 2011||AFPREFINV||September 2011 (Interim)|
|28 Nov 2011||PFGAORDS||September 2011 (Final)|
|28 Nov 2011||PNR FOODS||September 2011 (Final)|
|SPG||Super Group Ltd||25/11/2011||Confirmed|
|FSE||Firestone Energy Ltd||25/11/2011||Confirmed|
|FSEO1||Firestone Energy Ltd||25/11/2011||Confirmed|
|OPT||Optimum Coal Holdings Ltd||25/11/2011||Confirmed||
Stock Exchange News Service
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