South African Markets - Factors to watch on Nov 16
JOHANNESBURG, Nov 16 (Reuters) - The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect South African markets on Monday.
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GLOBAL MARKETS
Gold hit a record high on Monday as investors hedged against a weak dollar while Asian shares edged higher after upbeat reports from U.S. retailers underpinned confidence the global economy is recovering.
Markets are focused on U.S. President Barack Obama's visit to China that began on Sunday as he is expected to discuss China's yuan CNY=CFXS currency, which the U.S. believes is undervalued, with Chinese leaders. [ID:nSP113829]
SOUTH AFRICAN POLITICS
South Africa's ruling ANC and its allies agreed to look at broadening the mandate of the central bank from merely tackling inflation, ANC Secretary General Gwede Mantashe said on Sunday. [ID:nLF256790]
Separately, South African trade union federation COSATU has proposed that the alliance of the ruling ANC, Communist Party and itself replace the ANC as the main centre of political power, newspapers reported on Sunday. [ID:nLF220534]
SOUTH AFRICAN MARKETS
South Africa's rand steadied against the dollar on Friday and local stocks ended slightly higher, maintaining positive territory for a sixth day in a row in a lightly traded session.
The Johannesburg Top-40 index .JTOPI rose 0.1 percent to 24,074.94 points, while the broader All-Share index added 0.03 percent to 26,695.24 points. [ID:nLA685854]
BARLOWORLD (BAWJ.J)
South African industrial group Barloworld (BAWJ.J) expects 2010 to be challenging after posting a drop in full-year profit on Monday, hit by restructuring charges and a stronger domestic currency. [ID:nLG292531]
JD GROUP (JDGJ.J)
South African retailer JD Group (JDGJ.J) posted an 85 percent fall in full-year diluted headline earnings per share, within its own forecast, and said it expected the economic recovery to be slow. [ID:nLG304378]
GOLD XAU=
Spot gold hit a record high above $1,126 an ounce on Monday when massive buying in U.S. gold futures boosted bullion's appeal, but the precious metal later fell from its peak as follow-through buying failed to materialise.
Investors maintained their appetite for gold as a hedge against currencies as the U.S. dollar drifted lower in Asia, extending falls from late last week. [GOL/]
WALL STREET
U.S. stocks rose in light volume on Friday to achieve a second straight week of gains as upbeat retail news reinforced hopes for strong sales in the key holiday season.
Consumer shares led the way, following results from media giant Walt Disney Co (DIS.N) and retailer Abercrombie & Fitch (ANF.N), and an upbeat view from JC Penney Co Inc (JCP.N). [.N]
EMERGING MARKETS
For the top emerging markets news, double click on [nTOPEMRG]
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Some of the main stories out of the South African press:
BUSINESS DAY
- ANC, allies "reviewing" Reserve Bank's role: ruling party moves to placate its partners with policy compromises
- Standard Bank (SBKJ.J) disputes rumours on new chairman
- World Cup flights are already fully booked
BUSINESS REPORT
- Eskom [ESCJ.UL] to revise tariff proposal
- Summit leaves ANC as policy driver
THE STAR
- Athletics South Africa remains defiant as South African Sports Confederation and Olympic Committee closes in (Reporting by Serena Chaudhry)
