Market Overview
The following is a partial recap of the market analysis shared during today’s morning Discord call.
We open to another green day as markets rally on news of talks between Iran and Oman. The S&P 500 reached a new all-time high, showing a trend of the market taking in only the good news and ignoring the bad regarding the Middle East, regardless of how shaky or indecisive it is. The commodity market, meanwhile, is doing rather well, with gold, PGMs (Platinum Group Metals), and iron seeing green, and oil as the main loser, which should see miners of all stripes and colours push up South Africa today, at the cost of oil stocks like Sasol (SOL).
Gold
Gold has had a massive jump, bringing it very close to $4,200, which we view as a crucial level for the metal. This translates directly to the likelihood that gold miners like AngloGold Ashanti (ANG) and Goldfields (GFI) start in the green by a significant amount, while making any stock that opens in the red a good possible option in the early hours. With strength in the Rand and the rest of the metal space, we expect gold and other miners to push up the ALSI as a whole today, barring an unforeseeable curveball.
Local Stocks
PGMs (Platinum Group Metals)
With both platinum and palladium going up, we see the PGMs as a potentially good investment for the day. In regard to specific stocks, we see Valterra (VAL) and Sibanye-Stillwater (SSW) as particularly interesting. In Valterra’s case, the company had a successful deal of sorts in China yesterday, which made the stock take off. Sibanye’s more diversified mining makes it able to benefit from the price increase in both gold and the PGMs.
Naspers (NPN)
Naspers has been performing very well ahead of Tencent’s (700) earnings next week. With it reaching a new high, reaching R925-950 is a possibility, and buying its dips could be a good option for the time being.
MTN Group (MTN)
MTN had a massive drop on Friday and has gone sideways since. But with an upgrade by Avior to outperform, and a target price at R251 (19% increase), we see it as a potentially attractive option.
Earnings, Ex-Dividends & Economic Data
Pre-Market Earnings
Circle (CRCL)
Circle is an American-based payment-tech company, providing dollar- and euro-pegged stablecoins.
Riot Platforms (RIOT)
Riot Platforms is a large American Crypto mining company.
Novo Nordisk (NVO)
Novo Nordisk is a pharmaceutical multinational, based in Denmark.
After-Market Earnings
Sandisk (SNDK)
Sandisk is an American semiconductor company, whose earnings will be particularly interesting for the sector, following AMD’s disappointing performance yesterday.
MercadoLibre (MELI)
MercadoLibre is an e-commerce company based in Uruguay. It’s regarded as the ‘Amazon (AMZN) of Latin America’.
Ex-Dividends
The following stock is set to go Ex-div today.
| Stock | Price | Dividend | Ex-Div Price | Change |
| HDC | R191.4 | R3.85 | R187,55 | -2.01% |
Economic Data
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