Market Overview
The following is a partial recap of the market analysis shared during today’s morning Discord call.
Yesterday’s market was uneventful, as the U.S. market continued to move sideways and consolidate. There has been very little news from the Middle East, which could potentially signal a move towards peace, but we prefer to wait for more concrete evidence. Interestingly, we see a mixed bag of movement in the commodity space, with gold and platinum giving up some gains, while remaining higher than Friday. Meanwhile, oil is up by more than 6%, due to no particular headline, which should translate to a good opening for Sasol (SOL) and the likes.
Tencent (700)
Tencent had a very red day today, dropping by around HK$10, which should have a negative impact on Naspers (NPN) and Prosus (PRX) openings today. However, we recommend keeping an eye on the stock, as its earnings tomorrow (Wednesday, 9th August) could be a major catalyst. For now, HK$480 is once again the important level to look out for.
Local Stocks
Telkom (TKG)
Telkom received its third upgrade since last month today. This time raised to overweight by Morgan-Stanley, with a target price of R70, an increase of 22%. As such, we expect it to have a good opening.
Pepkor (PPH)
Pepkor has swing trade potential, with R22 being the mark to look out for, as we could see a quick rise to R23 if it breaks. It’s also expected to release a trading update soon, which could lead to further growth if the update looks good. As such, we see Pepkor as one of the best local stocks in the retail sector, together with Boxer (BOX) and Shoprite (SHP).
Earnings & Economic Data
After-Market Earnings
Super Micro Computer (SMCI)
Super Micro is an American information technology company, specialising in server production and related software and storage system services.
CoreWeave (CRWV)
CoreWeave is an American A.I. infrastructure and cloud computing company.
Franco-Nevada (FNV)
Franco-Nevada is a gold streaming and royalty company, based out of Canada. Its earnings could be interesting for traders who like to play with gold.
Economic Data
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