๐๏ธย Worldwide Markets โ Episode 642
๐
Recorded: Tuesday, 5 August
๐ผ Host: Simon Brown
๐ Powered by Standard Bank Shyft โ The global money app for travel, shopping, payments & investing.
๐ฎ Market Highlights
- ๐ Purple Group* rocks
๐ Share price has more than doubled since April lows.
๐งพ PE at 56, but strong growth potential and product expansion.
๐ผ Simon holds the stock โ bought low, holding for the long term.
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- ๐ฆย MPC shifts inflation target ๐ฏ
๐ฝ New anchor at 3%, down from 4.5%.
โ ๏ธ Finance Minister pushes back โ governance concerns.
๐ธ Lower inflation = lower raises = better expectations management.
๐งจ Flip side: high real interest rates hurt growth & jobs.
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- ๐ย Vehicle sales boom
๐ July sales >51,000 units โ highest since 2019!
๐ป Light commercial vehicles dominate, Mahindra sneaks into Top 10.
๐ฐ CMH* shines with low PE and high dividend โ Simon holds.
๐ Motus also cheap, but Simon prefers CMH.
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- ๐ชย Gold miners printing money
โจ AngloGold Ashanti*: - ๐ Production +21%
- ๐ฐ Free cash flow +149%
- ๐ Net debt down 92%
- ๐ต 80c dividend
- ๐น Targeting R1,000/share โ already at R972!
โจ Gold Fields also up ~150% YoY on earnings.
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- ๐งพย US Bureau of Labor Statistics drama ๐บ๐ธ
๐ฅ Trump fires BLS head after unfavourable jobs data.
โ Undermines trust in data โ risks U.S. credibility.
๐ Bad precedent: Greece, Argentina, China have all suffered from politicised stats. - ๐ Tariffs impact SA agriculture
๐บ๐ธ U.S. tariffs on citrus & grapes kick in Thursday.
๐ Sector exposure: ~10% โ not massive but not zero.
๐จโ๐พ Some farmers and related stocks (e.g. Mpact) will take a hit.
๐ง Random Insights
- ๐ช Crypto in Parliament?
๐ฟ๐ฆ Of 490 South African parliamentariansโฆ only 2 declared owning crypto.
๐คทโโ๏ธ No surprise crypto isnโt getting policy attention.
Simon Brown
* I hold ungeared positions.
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