Market Overview

We open the day to a slightly weaker Rand, but a greener overall market than yesterday, particularly in the commodity sector. Oil is up, with West Texas Intermediate at $80, and Brent Crude at $85, as tensions in the Middle East continue to rise, following a U.S. blockade of Hormuz. This puts fear of inflation and the subsequent counter-response of interest rate hikes back on the menu. On the South African front, the market seems mainly interested in local energy stocks, with very little interest in anything else. As such, we expect the JSE to have a quiet opening today, and the U.S. market to start on the back foot.

Metal Space

The commodity market opens in the green today, with the metal space more or less going up, or remaining in place from where we left off yesterday. Precious metals in particular are holding onto key support levels, such as $4000/oz for gold, suggesting that miners will open flat today. But it’s important to note that the weakness in spot metal prices could end up hurting the stocks.

From left to right: Gold, platinum, and palladium.

Earnings & Economic Data

Banking is the theme of today’s earnings, as several heavy hitters in the global banking sector will have their earnings today. Otherwise, the U.S. CPI report is the main release of the day. The rest of the week will also be eventful, with important data from China scheduled for release tomorrow, which could potentially impact the global market.

Pre-Market Earnings

J.P. Morgan (JPM)

J.P. Morgan Chase is a U.S.-based multinational bank. It’s the world’s largest bank by market capitalisation.

Citigroup (C)

Citigroup is an American multinational investment bank.

Goldman Sachs (GS)

Goldman Sachs is another multinational investment bank based in the U.S., with over a century of operations.

Bank Of America (BAC)

Bank of America is an American multinational bank and the second largest in the world after J.P. Morgan.

Ericsson (ERIC)

Ericsson is a Swedish telecommunications company known for inventing Bluetooth and for being an industry leader in 5G technology.

Economic Data

Start your trading journey with us today!

We’re posting on TradingView, we’re posting on our blog… but the real magic happens in our client community where you can get access to our ideas as they develop. So, open your account and join us and start taking advantage of South Africa’s Top Broker for both Active Traders and Traditional Investors. We have a Discord server, with a Daily Morning Call at 08:30 (Monday – Friday), where our Trading Strategist shares market updates and posts information with the Community. If you are not trading with us yet, what’s stopping you?

*Please note that these trade ideas form part of a larger weekly plan and the value of financial products can increase as well as decrease over time, depending on the value of the underlying securities and market conditions. The risk of loss arising from trading in Contracts for Difference can be substantial. You should carefully consider whether such investments are suitable for you in the light of your circumstances and financial resources.