By Andre Botha, Senior Dealer, TreasuryONE
The positive sentiment that prevailed in markets for most of yesterday dissipated late in New York as a touch of risk aversion returned. The slowing rate of spread of the Coronavirus was tempered by the rising number of deaths which turned markets cautious.
Wall Street, which had traded well in the green for most of the day, closed marginally in negative territory and this trend is continuing in Asian markets. The Nikkei is the exception, having gained 1.51% today. The JSE closed 2.54% higher yesterday led by Sasol which gained 53.48% on hopes of an agreement to cut Oil production at tomorrow’s OPEC meeting. Oil had an up and down day yesterday before closing lower at $31.87. Brent is trading a touch higher this morning at $32.90.
The Dollar is slightly firmer this morning on the risk-off mood, gaining against the risk-sensitive Kiwi and Aussie Dollars while holding against the Euro and Pound. The Rand had another good day, trading below 18.1000 at one point but is weaker this morning at 18.3300.
Gold is reasonably steady at $1 651.50 while Platinum and Palladium are trading firmer this morning.
