The JSE climbed on Monday, following a broad recovery in world markets as geopolitical tensions between North Korea and the United States have subsided. The Rand firmed 0.97% to R13.23
The blue-chip Top40 gained 0.70% while the broader All Share Index moved 0.56% higher. The Market was led by Industrials gaining 0.82% as Naspers rallied 2.91%. The move in Naspers was driven by a 4.31% rally in the price of Hong Kong based, Tencent.
Sygnia [JSE:SYG] has raised R160m in financing to partly defray the bridge loan of R320m raised to acquire the DBX-Tracker brand of exchange traded funds. The rights offer was fully subscribed, with the injection of capital introducing new shareholders to participate in the growth of the company.
Sanlam Investment Holdings [JSE:SIH] entered into an agreement with Purple Group to acquire a 30% stake in EasyEquities from Purple Group [JSE:PPE]. According to the SENS announcement, EasyEquities is a disruptive, technology focused Fin-Tech company that currently operates an online investment platform. The primary objective is to break down cost barriers that prevented the majority of South Africans from investing in the past.
Gold prices edged 0.61% lower on Monday to $1280, pulling back from their highest level in two months as concerns about tensions between the U.S. and North Korea eased. Geopolitical concerns appeared to fade on Monday as U.S. Secretary of Defense Jim Mattis and Secretary of State Rex Tillerson said that the Trump administration would continue to seek diplomatic resolutions with Pyongyang.
Brent Crude Oil slipped 1.34% to $51.40 falling on worries about reduced Chinese demand. Efforts by the Organization of the Petroleum Exporting Countries and other oil producers to limit output have helped lift Brent past $50 a barrel. Rising production in Libya has added to the global crude glut. The OPEC member country is exempt from the global deal to cut output and has been trying to regain pre-war production levels. A cutback from Libya could help improve the group's compliance with the cuts.
Bitcoin vaulted to a new record high above $4000 over the weekend, mirroring gold's recent climb amid a global selloff last week in stocks and bonds. Rising worries about North Korea's nuclear threat have sent investors flocking to perceived safe-havens and alternative assets. The cryptocurrency has now quadrupled in 2017, and is up about 40% in August alone.
