Offshore Investing

  • Email
  • LinkedIn
  • RSS

  • Home
  • About Us
  • Contact Us
  • Local Funds
  • Offshore Funds
  • Legal
  • Providers
  • Links
  • Blog

Weekly Markets Week 34

27 August, 2008

Weekly Markets – 25/08/08 – US banking liquidity still worrying analysts even more

The week from a global perspective

U.S. stocks fell, sending the Standard & Poor’s 500 Index to its first weekly decline since July, as oil prices climbed and concern grew that the government may bail out Fannie Mae and Freddie Mac.

European stocks ended sharply higher, lifted by a rebound in financial shares on the prospect that U.S. investment bank Lehman Brothers might be bought, while oil eased to around $118 a barrel.

Asian stocks rallied the most in four weeks on Friday, after a poor few days earlier, led by carmakers and airlines, as oil’s biggest plunge in four years eased concern that rising energy costs and faster inflation will erode earnings.

Crude oil was little changed after falling the most in three years as BP Plc restarted flows through a Caspian Sea pipeline and as the dollar gained against the euro.

The gains in crude oil and the marked drop in the U.S. currency bolstered precious metals, with gold rising 2.7% as bargain-hunters swooped in to buy the metal.

The US$ rose to a two-year high against Sterling this morning after data last week showed Britain’s economy was stalling, raising prospects of an interest rate cut by the Bank of England.

The week from a South African perspective
The JSE ended slightly lower last week after a better session on Friday inspired by gains in overseas markets, but it came off from its intraday highs as precious metals pulled back along with crude oil prices. After spending most of the day in positive territory in tandem with stronger world markets, South African near-dated futures closed lower on Friday as metal prices retreated along with crude oil prices.
June-delivery platinum jumped 3.8% to close at $1,343 an ounce on the Tokyo Commodity Exchange.
The Rand remained steady around its firmer levels on Friday, in quiet trading conditions ahead of the weekend. The local unit traded between the 7.65 and 7.69 levels for much of the session, holding onto gains made in the previous trading session on Thursday.

The week ahead

Tuesday
– Washington, US Federal Reserve issues the minutes from its 5 August meeting
– Singapore, 40th Association of Southeast Asian Nations meeting of economic ministers

Wednesday
– Pretoria, Stats SA releases July consumer inflation data

Thursday
– Pretoria, Stats SA releases July producer inflation data

Friday
– Pretoria, SA Reserve Bank releases July credit and money supply data
– Pretoria, SA Revenus Service releases July trade account data
– US, Early close (16.00 GMT) of the US fixed income markets ahead of Labour Day

Filed Under: Blog

CURRENCY CONVERTER

Blog Archives:

Popular Posts:

  • High Yielding Investment from Fedgroup
    Nov 19, 2014
  • Surviving financially through the lockdown
    Jun 28, 2020
  • Allan Gray’s Rand denominated overseas funds re-open, ...
    Apr 06, 2017
  • COVID 19 Lockdown update & Moody’s downgrades SA ...
    Mar 30, 2020
  • Some tips on planning for your retirement
    Oct 28, 2019
  • Tax Free Savings Plan
    May 14, 2015
  • A way forward for SA from JP Landman – An excellent pi...
    Apr 24, 2020
  • Trump bump or long term receovery?
    Mar 10, 2017
  • Nero fiddles while Rome burns
    Feb 09, 2017
  • ALSI likely to produce negative returns for a while
    Nov 02, 2014
  • SA vs selected major ten year govt bond yields
    Apr 29, 2016
  • A New Year
    Jan 12, 2017
  • Market Turmoil & now Lockdown at the bottom of Africa
    Mar 23, 2020
  • The Changing Oil Environment
    Dec 11, 2014
  • Retiring this year?
    Apr 20, 2015
  • Foreign Capital Allowance Increases and Curbs on the use of ...
    Mar 04, 2015
  • Are South African Bonds due for a hit?
    Aug 13, 2014
  • Brexit Update and is the JSE the only place for me?
    Aug 08, 2016

Sitemap:

  • About Us
  • Contact Us
  • Graph illustrating selected ten year bond yields
  • Legal
  • Links
  • Local Funds
  • Offshore Funds
  • Providers

Connect with Us:

  • Email
  • LinkedIn
  • RSS

Subscribe to our Blog:

Search this site:

© 2014. Groom Investment Consulting cc. All rights reserved. Designed & Customised by Terri Love Designs