SA markets and economy

What is the reason for the surprise interest rate hike?

The only reason for the rate hike that I can understand is if it is part of a concerted EM action. We know that most of the emerging markets increased rates recently: Brazil, India, Russia, Turkey, etc. With interest rates in the US and Europe likely to stay this low until H2 2015, higher yields

Educational and learning materialiTrade Fantasy LeagueSA markets and economy

How the iTrade Fantasy League portfolio outperformed the JSE All Share Index

In what was probably a world first, Sanlam iTrade asked Facebook fans to choose 20 shares and manage the portfolio for nine months. We invested R1m in the shares chosen and the portfolio outperformed the JSE All Share Index! The JSE Index increased by 13% from March to November and the iTrade Fantasy League portfolio

SA markets and economyTrader insightsUncategorized

Time to take money off the market?

28 August 2013 The JSE had quite a spectacular run over the last two months. The Allshare Index gained 14% since 24 June to 26 August and slipped 2% over the last two days. The major engine this time was the Resources sector. The Resi Index shot up 22% from 5 July to 26 August.

SA markets and economy

Don’t be fooled by the Lucky Quarter of our Balance of Payments!

So most economists were surprised by the narrowing of the Current Account deficit of the Balance of Payments from 6.5% of GDP to 5.8%, especially whilst forecasts expected it to widen to 7% or more. On top of that the Capital Account registered even bigger inflows than the 4th quarter while we were worried that

Educational and learning materialSA markets and economy

Investor Education Series: Evaluating the market – The International Economy

Evaluating the market – The International Economy South Africa has a very open economy and is therefore affected by global events. Open economy means that imports and exports constitute a large percentage of our GDP. The equity market is particularly sensitive to global events because of the effect on our currency and economy. Global Economic

SA markets and economyTrader insights

Investing in Gold – THE RIGHT WAY!

When the financial crisis really hit the markets in August 2008 I advised investors to strongly consider investing 10% or more of their portfolios in Gold. It was my opinion that even if the Paulson $750bn plan worked to stabilize the money markets, the consequences will be dramatic and lead to a global recession. I