Rand firmer as euro confidence grows
March 8, 2012--The rand was firmer against the dollar in late afternoon trade on Thursday as it tracked a euro that had rallied as investors grew more confident about the Greek debt-swap due to take place later today.
"I don't foresee problems with the debt swap, as the European Central Bank has done enough to turn things around from a sovereign risk perspective," a local analyst said.
He added that in the longer term the trend was towards market strength and a move towards riskier assets.
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Source: FIN24
Ghana bourse aims for 50 listed companies
March 8, 2012--The Ghana Stock Exchange is targeting a total of 50 listed companies within five years, up from 34, and will launch an alternative market this year to enable smaller companies to raise capital.
It will also introduce its first exchange traded fund, deputy managing director Ekow Afedzie told Reuters in a telephone interview.
"Our target is to get 50 listed companies as early as possible ... to make the market look more viable and more interesting. We are giving ourselves three to five years," he said on Thursday.
Afedzie said the west African cocoa producer's solid economic fundamentals, the government's recapitalisation of the banking sector and pension reforms would all contribute to the growth of the stock market.
"I think there is potential for the market to grow," he said. "The macroeconomic environment is very stable. Inflation is below 10 percent and it has been like that for a long time. We have seen a little instability in the currency, but it has stabilised now."
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Source: Reuters Africa
JSE gathers pace, MTN lends support
March 7, 2012--The JSE pushed higher at noon on Wednesday, boosted by market players picking up beaten down shares.
The rally in MTN Group [JSE:MTN] shares following the release of its year-end results boosted overall market sentiment.
At 12:00 local time, the JSE All Share [JSE:J203] index was up 0.59% at 33 582.75 points, with gold miners picking up 1.47%, resources lifting 0.88%, and platinums gaining 0.87%.
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Source: FIN24
Rand flat, bonds edge higher
March 7, 2012--South African government bonds edged higher on Wednesday and the rand was little changed against the dollar in very thin trading as the market took a breather from a bout of profit-taking that drove the currency as much as 1.7 percent weaker the previous day.
A one-day nationwide strike against the use of brokers in the labour market and a controversial new road toll hit output in the key mining sector but had little impact on the debt and currency markets, traders said.
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Source: FIN24
SA ups forex reserves
March 7, 2012--South Africa's net gold and foreign exchange reserves stood at $49.639bn at the end of February from $49.072bn in January, data from the central bank showed on Wednesday.
Gross reserves rose to $51.889bn from $51.451bn in January, the bank said in a statement on its website.
The forward position, which represents the bank’s unsettled spot or swap transactions, was at $6.618bn compared with $6.555bn in January.
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Source: FIN24
JSE closes down as miners bleed
March 6, 2012--Miners such as Lonmin were felled by a slide in metal prices and led South African shares lower on Tuesday, with blue chips posting their biggest one-day loss in over three months.
The benchmark blue-chip Top 40 - (Tradeable) [JSE:J200] index shed 2.07% to 29 612.31, its biggest fall since late November, while the broader All Share [JSE:J203] index gave up 1.89% to 33 387.04.
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Source: FIN24
Bond yields at highs, rand drags prices
March 6, 2012--The rand fell against the dollar on Tuesday, reflecting weakness in emerging market currencies as investors fret about the euro zone debt crisis and global growth, driving government bond yields to one-month highs even after a strong debt auction.
The short to medium term outlook for the currency and bonds was seen as positive, however, as carry trades are expected to support the high-yielding rand while March bond coupon payments should find their way back to cushion the debt market.
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Source: FIN24
China growth reduction jolts JSE
March 5, 2012--South African stocks edged lower on Monday for a third consecutive session, led by resource stocks such as Gold Fields and Harmony Gold on the back of disappointing growth data from top commodity consumer China.
The Asian giant cut its 2012 growth target to an eight-year low of 7.5%, as Beijing looks to wean the economy off its reliance on external demand and foreign capital.
Rand recovers slightly on euro bounce
March 5, 2012--The rand recovered against the dollar in afternoon trade on Monday on the back of the euro's bounce.
"Trading has been sedate and we have just followed the euro's moves against the dollar. We have been pretty stable against the third currencies as a result of that," a local rand trader said.
At 18:00 local time, the rand was bid at R7.5626 to the dollar from its softest level of 7.5864 and its previous close of R7.4979. It was bid at R9.9987
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Source: FIN24
Nigeria Adds Yuan to External Reserves
March 2, 2012--Nigeria's central bank has added the equivalent of $500 million in Chinese yuan to its reserves and plans to buy seven times that amount, in a shift that underscores booming commerce between China and the African continent.
The bank will gradually increase its yuan holdings to 10% of its $35 billion in reserves, Central Bank of Nigeria Governor Sanusi Lamido Sanusi said in an interview with the Wall Street Journal yesterday.
Over the past six months, Nigeria has converted 1.4% of its reserves to Chinese currency, largely by selling euros and buying yuan on offshore markets in Hong Kong, Sanusi said.
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Source: This Day Live