South African Dilemma!

URGENT UPDATE. SEE MINING NEWS IN THE SIDE BAR The ANC has been in power for 23 years with out any serious rivalry from other parties. No...

About Me

Retired but always looking for new challenges.

Friday, January 1, 2016

NEW YEAR EXPECTATIONS

Our local South African market the JSE is oversold at the moment. Of course our financial state is not good as our balance of payments is not improving  with very low demand  for our commodities and with rating agencies hovering to reduce us to junk status, as we hold on just one notch above junk at the moment.
How ever there signs of some commodities such as copper , platinum group metals , even iron ore having reached a low plateau now as mines tighten their belts taking steps not to over produce and also following tight business principles ,major producers are ready to ride the bad times as they aim to carry on at break even rates.
We feel that stock prices will not fall further in Rand terms as the USD strengthens our Rand weakens and we receive more income. This is because most of our commodities are rated in USD.
The real recovery in commodity prices  is likely only to start taking place toward the middle of 2017 and be in full swing towards the end of   2018!
There is enough information on overseas markets available out there.
Visit the index. above the post regularly.    The latest updates are always placed at the top of the index above.