Police Minister Bheki Cele presents crime statistics for the three months through June at 11am

  • 14/08/2020 Eskom Warns of More Power Cuts in Worst Year for Outages
  • South Africa Builds Recovery Plan Around Infrastructure
  • 6pm: President Cyril Ramaphosa to take part in forum ongender-based violence
  • 10am: Seipati Dhlamini, the former chief financial officer of the Free State Department of Agriculture and Rural Development, testifies at the Commission of Inquiry into Allegations of State Capture

EARNINGS:
Tongaat Hulett Returns to Profit; Progress in Turnaround Plans

  • FY revenue 15.4 billion rand, up 18% y/y
  • FY operating profit 3.3 billion rand, up 491%
  • FY headline EPS 0.90 rand vs. loss/share 8.230 rand y/y
    WOOLWORTHS HOLDINGS LIMITED – Trading statement for the 52 weeks ended 28 June 2020
    *Sees FY HEPS 60%-70% Lower y/y
    *Sees FY HEPS 102.9C TO 137.2C VS 342.9C Y/Y
    *Sees FY EPS 50C-70C VS LOSS OF 113.4C Y/Y

MASTER DRILLING GROUP LIMITED – Revised Trading Statement

  • HEPS are expected to be between 49,50 and 57,20 cents per share compared to the HEPS of 76,70 cents per share for the 6 months ended 30 June 2019 (“comparative period”), which is between 25,5% and 35,5% lower

MARKETS
The FTSE/JSE Africa All-Share Index closed flat at 57,419, with losses in Naspers & Prosus (both down over 2%), offset by gains in Platinum & Gold counters as well as support from Sasol and some banking counters. The Rand was up 0.2% to 17.44 per US$ at 8:50pm, with the Yield on 10 year govt rand bonds that fell 2.8 bps to 9.263%.

EU/UK
European stocks finished Thursday’s session in negative territory as investors digested the latest U.S. jobless claims data that came in better than expected and tracked the lack of progress in negotiations over a U.S. pandemic relief package. The Europe Stoxx 600 closed 0.63% lower, with banks shedding 1.91% to lead losses while retail bucked the trend to add 0.24%. In London the FTSE 100 gave up 1.5%, the German Dax fell 0.50%, with the Paris CAC 40 shedding 0.61%. Thyssenkrupp was the worst performer on the European blue chip index, closing 16.3% lower after the German steel company posted a 679 million euro ($800 million) quarterly loss. Aegon shares fell 15.32% after the Dutch insurer reported a 67% fall in first-half net profit. Shares of Carlsberg were down 5.79% after the Danish brewer said it expected profit to fall 10%-15% in 2020 due to lockdowns in Europe and China impacting sales. At the top of the European blue chip index, Simcorp added 5.75%.
U.S.
The S&P 500 closed lower last night, down 0.2% to 3,373.43, after flirting with its record high from February as traders digested better-than-expected unemployment data and monitored the stalemate in stimulus negotiations. It briefly crossed its record closing high of 3,386.15 earlier in the session. The Dow Jones was down by 80 points, or 0.3% at 27,896, with the Nasdaq that outperformed, rising 0.3% to 11,042. Cisco Systems dropped more than 11% on the back of disappointing earnings guidance to lead the Dow lower. Stocks of companies that would benefit from the economy reopening struggled as well. Gap dipped 2.1%. American Airlines and Southwest slid more than 1.5% each. Meanwhile, shares of Apple gained 1.8% to close at a record. Facebook and Netflix were also higher.

ASIA
Asian stocks are mixed to slightly better as investors mulled the stalemate in stimulus talks in America and parsed signs of an economic recovery. Shares in South Korea led decliners after daily virus cases there almost doubled. China and Hong Kong are erasing earlier losses, currently trading positive, while stocks fluctuated in Japan and posted modest gains in Australia. Data showed China’s economic recovery continued in July, though retail sales were weak. The Nikkei is up 0.17%, the Hang Seng gaining 0.52% (Tencent flat) and the Shanghai higher +0.72%. In OZ the ASX 200 is 0.58% higher, with the metals & mining index +0.39.
COMMODITIES
Oil headed for a second weekly gain as signs an energy demand recovery in the U.S. is gaining traction outweighed a more pessimistic report from the International Energy Agency. Futures in New York edged higher near $42 a barrel Friday and are up around 3% for the week. A slew of encouraging data on U.S. crude stockpiles, gasoline consumption and refinery activity spurred the biggest daily jump in three weeks Wednesday.
Gold headed for the first weekly drop in ten weeks as investors weighed moves in bond yields, the uneven path to economic recovery, as well as the stalemate in stimulus negotiations in the US. Bullion is ending a week filled with wild swings on a relatively tame note, and more than $100 an ounce below an all-time high. This comes as 10-year Treasury yields steadied near an eight-week high, with the number of Americans applying for unemployment benefits falling below 1 million for the first time since the coronavirus pandemic began in March. Data Friday showed China’s economic recovery continued in July, though retail sales were weak.