Today

The SA market should edge firmer (+0.2%) at the opening led by the resources sector as the rand eases against stronger metal prices. Volumes should remain low as investors sit on the fence waiting for fresh news out of Europe.

SA Finance Minister Pravin Gordhan will deliver the nation’s budget speech for 2012 in parliament today at 14h00, where he is expected to forecast a widening in the budget deficit and investors will be looking to see how new infrastructure developments will affect the borrowing requirements and the economy. SA CPI due at 10h00 is expected to accelerate to 6.2% y/y in January from 6.1% y/y in December 2011.

Yesterday

The DJIA and S&P 500 lifted 0.12% and 0.07%. The DAX, the FTSE 100 and the CAC 40 were down -0.58%, -0.29% and -0.21% with investors cashing in on recent gains after a long-awaited bailout deal for Greece failed to dismiss concerns about the future of the euro zone's most troubled country.

The Nikkei225 eased -0.23% while the HangSeng gained 0.25% retreating from the day's low after euro zone finance ministers sealed a second bailout for Greece. The JSE All-Share and the Top-40 added 0.11% and 0.15% led by resource counters, shrugging off the Greek bail-out package in line with global markets. The rand weakened -0.88%, -0.66% and -0.33% against the euro, the dollar and the pound to R10.24/€, R7.73/$ and R12.20/£ as investors traded cautiously awaiting to see what Minister Gordhan's budget says about the deficit and borrowing plans.

Euro zone consumer confidence rose to -20.2 in February from a revised -20.7 the previous month, adding to hopes that the region‘s economy might have gained strength.

Japanese bank Nomura and Swiss interdealer broker Compagnie Financiere Tradition have launched the first electronic trading platform to allow investors to trade exchange-traded-funds directly on the primary market in real time.

SA’s composite leading business indicator increased by 2.0% y/y in December after having risen 2.3% y/y in November with decreases recorded in four of the ten component time series that were available in December.