In Friday’s trading session in the local markets, all sectors had a strong bullish move. The Top40 had a move up of 1.41%, with the Resources 10 was up the most by 2.13% in Friday’s move, which could be attributed to the commodities boom, with Iron ore and copper reaching all-time highs. Interesting price actions was Kumba Iron Ore, reached a 52-week high and all-time high of R707.45. Further research is available in the link. The Rand continued their favored session against the major currencies across the board and closed at R14.07 against the Greenback after disappointing Non-Farm Payroll numbers were released. R19.69 against the Great British Pound and R17.11 against the Euro.
Figure 1: Kumba Iron Ore – one year chart
On the commodities front, the rally continues with Iron Ore leading the commodities boom, with a 10 % surge. Gold Spot price remains above $1800, Platinum Spot price trading at $1259 and Brent Crude Oil traded at $68.70 a barrel, furthermore, there was a cyberattack on U.S. pipelines which forced the closure of a key U.S. pipeline. Copper continues to reach new all-time highs and currently trading at $10,412.50.
Figure 2: Copper , Grade A - one year chart
Across the globe, the U.S. markets had an all-round positive day, across the different exchanges, with the S&P 500 index hit a new all-time high U.S. released weak jobs data. The FTSE 100 was up by 0.76% and the DAX had a bullish move of 1.34% and CAC40 was also up by 0.45%. In the Asian markets, the Nikkei 225 is up 0.55% and the Hang Seng is down by 0.3%. The meme crypto currency, Dogecoin, had a large move over the weekend and went down 15% because of Elon Musk’s appearance on SNL.
Things to look out for today.
The Resources sector is set to be favourable, with commodity prices climbing and reaching new highs. AngloGold Ashanti Ltd had released their Q1 2021 earnings results early in the morning.
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