South African Markets - Factors to watch on Oct 10

JOHANNESBURG, Oct 10 (Reuters) - The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect South African markets on Friday.

- - - -

GLOBAL MARKETS

Asian stocks plunged on Friday, with Japan's Nikkei down more than 10 percent, while the yen and U.S. Treasury debt prices rose, as panic set in after global efforts so far failed to unlock credit markets.

A synchronised cut in borrowing costs by central banks around the world this week was seen as too little, too late, and investors doubted a meeting of the Group of Seven rich nations later on Friday could achieve much, with fears growing that the global economy is headed towards recession.

U.S. government debt and the yen have become refuges from the worsening financial crisis that overnight knocked the U.S. S&P 500 stocks index .SPX down 7.6 percent to a 5-year low. But cash was ultimately king, with even Japanese government bonds being liquidated for funding.

Fears of a sharp slowdown in demand for raw materials from heavy consumers like China and the United States dragged oil prices down to a 12-month low below $83 a barrel.

For story double click on [ID:nSP375298]

SOUTH AFRICAN MARKETS

Improved risk appetite in global markets helped South Africa's rand to firm against the dollar on Thursday despite interest rates being held at 12.0 percent, while mining shares boosted local stocks.

The rand ZAR=D3 was trading at 9.00 against the dollar at 1550 GMT, about 2.6 percent stronger than its last New York close of 9.24, off its session high of 8.9195 and well away from the near 7 year low of 9.45 hit on Wednesday.

Analysts said the return of some calm in global markets was the main driver for currency markets.

For Thursday's South African financial markets closing report, double click on [ID:nL981742]

SOUTH AFRICAN ECONOMY

South Africa's Reserve Bank held its repo rate flat, as expected, on Thursday with record high inflation balancing concerns about slowing consumer spending.

Given the relative stability of the local banking sector, it did not follow the lead of U.S. and European central banks that cut rates on Wednesday to ease tight credit markets.

Central bank Governor Tito Mboweni said economic growth appeared to be slowing despite a rebound in the second quarter, while the inflation outlook had improved slightly.

For story double click on [ID:nL9247794]

TELKOM (TKGJ.J)

Vodafone is set to take control of South Africa's Vodacom by buying an extra 15 percent stake in the mobile operator from Africa's biggest fixed-line phone firm Telkom (TKGJ.J) for 22.5 billion rand ($2.48 billion). .

Telkom said on Thursday its board and the government supported the bid by Vodafone (VOD.L), which already holds 50 percent of Vodacom, South Africa's biggest mobile phone operator.

For story double click on [ID:nL9174570]

GOLD XAU=

U.S. gold futures leapt and spot gold rose to an over two-month high on Friday, adding to a late rally a day ago as investors frantically searched for assets that might be safe havens after heavy losses in equity markets.

Gold drew renewed interest from investors seeking some security as the month-old financial crisis doled out more punishment, with Japan's Nikkei N.225 tumbling more than 11 percent, poised for its biggest one-day drop since the 1987 crash, on fears that a global recession was now unavoidable.

Spot gold XAU= rose $2.50 or 0.27 percent to $914 an ounce from New York's notional 2115 GMT close, its fifth day of gains, at one point hitting $925.05, its highest since July 31. It is now just 11 percent off its all-time peak of $1,030.80 in March.

For the latest precious metals report, double click on [GOL/]

WALL STREET

U.S stocks plummeted for a seventh straight session on Thursday as investors bet recent moves by authorities worldwide to thawfrozen credit markets would not be enough to avert a global recession.

An avalanche of selling at the close left the Dow below 8,600 for the first time since May 2003, and down almost 40 percent from its all-time closing high hit exactly one year ago. The Nasdaq and the S&P 500 each also fell to levels not seen in more than five years.

Bank and insurance stocks got hammered again, as the previous day's coordinated global interest-rate cuts and myriad other official actions to unfreeze money markets did little to boost confidence in the financial sector. Some traders said the lifting of the ban on bets that financial stocks will drop may have contributed to the sell-off.

For the New York stock market report, double click on [.N]

EMERGING MARKETS

For the top emerging markets news, double click on [nTOPEMRG]

ZIMBABWE

Zimbabwe's annual inflation hit a record 231 million percent and prospects for rescuing the ruined economy dimmed on Thursday after the opposition said no progress had been made on forming a power-sharing cabinet.

Speaking at a news conference, opposition leader Morgan Tsvangirai said he had made compromises on many issues but both sides remained divided on sharing ministries. He was nonetheless still hopeful of eventual agreement.

For story double click on [ID:nL9312163]

- - - -

Some of the main stories out of the South African press:

BUSINESS DAY

- Reserve Bank cites weak rand as rates stay on hold. Disappointment at Mboweni's decision to buck global trend

- Telkom (TKGJ.J) agrees to sell R22.5 billion Vodacom stake to Vodafone

- South Africa's money market avoids credit freeze

- RMB (RMHJ.J) denies complicity in collapse of broker Dealstream

BUSINESS REPORT

- South Africa sees no need to join rate cut party. Mboweni commends necessary global approach

- Vodafone's Vodacom bid gets approval

- PetroSa's giant Coega refinery vexes Shell

THE STAR

- Highway murder arrest: investigation into attacks leads cops to security guard

- National Springbok rugby emblem is on the chopping block

(Reporting by Rebecca Harrison)