The JSE all-share index is trading 0.46% lower in morning trade, although well off the day’s lows following better than expected local GDP figures.
The resource index is trading 1.08% lower, financials 0.89% lower and industrials 0.24% lower.
In company news: Naspers released interim results in which revenues measured on an economic interest basis expanded by 30% y/y while core headline earnings grew 24%.
Omnia Holdings interim results showed revenue to have increased by a marginal 1.1%, profit decreased by 4.7% although the dividend was increased by 2.7%.
Steinhoff announced the detailed terms relating to the acquisition of a controlling interest in Pepkor Holdings from Brait SE.
In currencies news the Rand is trading at R11.02 cents to the Dollar, R13.70 to the Euro and R17.28 to the British Pound. In commodities, Gold is trading at $1,200/oz., Platinum at $1,217/oz. and Brent Crudeat $79.93/barrel.
South African GDP data was reported to show a 1.4% growth q/q and y/y, while in Europe final GDP data from Germany showed a lacklustre 0.1% growth. We are expecting preliminary GDP data out of the U.S. at 3:30pm, with the expectation for quarterly growth of 3.3%.
Chart of the day
Brait is today’s chart of the day. investors have reacted negatively to the deal in which it would appear that the company is selling off one of its core operations at an apparent discount to what the market had expected.
The share price has reversed off trend line support at 6705 to trade around 15% lower on the day. Ironically the share also managed to make a new all-time high shortly after today’s open.
Brait SE (SA)
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