US Inflation:

• Core Inflation: Came in at 3.4%, lower than the expected 3.5% and previous 3.6%.
• Impact: Positive market reaction, with US Treasuries under pressure, Rand strengthening, and Dollar weakening.
• FOMC Outlook: Potential rate cuts anticipated towards the end of the year, possibly in November and December.

Company Results:

SPAR:

• Performance: Results were as expected, market responded positively.
• Issues: Challenges in Switzerland, discontinued operations in Poland, and ongoing SAP implementation issues.

Foschini Group:

• Performance: Strong results, market reacted favorably.
• Highlights: Good performance in their online platform Bash and general improvement across brands.
• Foschini Group and Clothing Retailers: Potential growth areas and resistance levels in stock prices.

Interesting Stock:

• Contemporary Amperex Technology Company Limited (CATL):
• Sector: Battery technology for EVs and corporate solutions.
• Market Performance: Positive analyst ratings, promising future prospects.

Renergen*:

• Helium Production: Helium is flowing, but further testing is required.
• Challenges: Significant delays and ongoing testing phases, but progress is being made.

Santova:

• Stock Movement: Changes in buyer and seller dynamics impacting stock price.
• Insights: Importance of identifying market movers in stock trading.

Political Developments:

• Coalition Talks: Ongoing with potential for an ANC, DA, IFP coalition.
• Rand Performance: Strengthening in response to political stability and positive US inflation data.

[caption id="attachment_42378" align="aligncenter" width="849"] USDZAR | 12 June 2024[/caption]

Simon Brown

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* I hold ungeared positions.