The JSE all-share index is trading 0.47% lower, as rand hedge industrial counters lead our bourse lower as our domestic currency strengthens amidst a weakening dollar.
The industrial index is 0.6% lower, the financial index 0.3% lower and the resource index has added 0.3% in morning trade.
In company news: Business Connexion year-end results showed organic revenue growth of 7.2%, EBITDA to have increased by 17.8% and operating profit 30.4%.
In currencies news the Rand is trading at R11.08 cents to the Dollar, R13.88 to the Euro and R17.33 to the British Pound. In commodities, Gold is trading at $1,203/oz., Platinum at $1,212.50/oz. andBrent Crude at $79.78/barrel.
In the U.K. Consumer Price Index data showed year-on-year inflation to have increased by 1.3%. While in Europe, German ZEW economic sentiment data showed a positive reading of 11.5 index points as investors and analysts become more optimistic on the outlook for the region. At 3:30pm we are expecting month-on-month Producer Price Inflation data out of the U.S.
Chart of the day
PPC is today’s chart of the day. Year-end results revealed a 9% increase in revenue, while headline earnings were flat despite challenging local trading conditions. The annual dividend now amounts to 114c per share after the final dividend of 76c per share was announced.
The share price has gapped down on the news and is trading more than 3% lower on the day albeit well off today’s lows. For a continued rebound we would like to see the price closing above resistance at 2675 failing which a move towards previous support at 2400 is favoured.
PPC Ltd
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