Financial News 13th November 2023

Market overview
The FTSE/JSE All Share closed last week at 71 393.31, decreasing by 2.01%. The industrials and consumer staples sectors increased by 1.38% and 1.29% respectively during the week. The oil & gas and basic material sectors decreased by 6.50% and 6.15% respectively during the same period.
Looking at the MSCI indices, developed markets increased by 0.62% during the previous week while emerging markets increased by 0.02% over the same period.

SA manufacturing under pressure
Annual South African manufacturing production decreased by 4.3% in September, below an expected 2.6% slump. It was the steepest decline in industrial activity since last December and came after five consecutive months of growth as the country suffered the worst power cuts on record during September.

Chinese economy still struggling post COVID
Annual inflation in China decreased to 0.2% in October 2023, below market expectations of 0%. The statistical office said the drop in CPI was due to an ample supply of agriculture products because of good weather and a fall in consumption after the Golden Week holiday at the start of October.
Beijing has been ramping up measures to support the broader economy, including 1 trillion yuan in sovereign bond issuance. However, an ongoing property crisis, local debt risks and weak demand all complicate the recovery process.

Thanks to PPS Investments for the weekly Market Overview.

Rand firms at start of data-heavy week
The rand was slightly stronger in early trade on Monday, at the start of a week containing several important local and global economic data releases that could move markets. Read the full Moneyweb article here>

Rally reversed as oil slips on jitters over waning demand in US and China
Oil prices backed off on Monday, reversing its Friday rally, as renewed concerns over waning demand in the US and China dented market sentiment. Read the full Business Day article here>

South Africa readies for a rough landing
Economic data for the third quarter of the year is not looking positive, say economists at the Bureau for Economic Research (BER), with indications pointing to a significant slowdown in growth – if not stagnating altogether. Read the full Businesstech article here>

Gold lingers near three-week low as dollar holds up before US inflation data
Investors await figures for more cues on whether the Federal Reserve will stand pat on interest rates or raise them higher. Read the full Business Day article here>

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