Oil slumps to 4-year low

London - Oil prices slumped to just above here on Tuesday, reaching the lowest point in almost four years, as global energy demand weakened amid a widespread economic slowdown.

On London's InterContinental Exchange (ICE), Brent North Sea crude for delivery in January hit .02 - the lowest point since February 18, 2005.

The contract later recovered slightly to stand at .60 a barrel, down .37 compared to the close on Monday, when brent had lost a huge .52.

On Tuesday, light sweet crude for January fell to as low as .36 on the New York Mercantile Exchange (NYMEX). That was the lowest level since May 2005 and followed a dive of .15 on Monday.

Well atleast our petrol price will go down, if the goverment decides to help us out, yeehaaa, but then again, you never do know now do you.

Not that I'm moaning, but it would be nice if the interest rate went down :p

SA 2009 growth to slow to 1.9%

Johannesburg - South Africa's Bureau for Economic Research (BER) expects real GDP growth to slow from the 5% plus environment to 3.3% in 2008 - this being unchanged from what was projected when its forecast was last updated in July.

However, it expects GDP growth to decelerate to 1.9% during 2009, which would be the weakest performance since the 0.5% recorded in 1998, it said.

BER economist Hugo Pienaar said in July growth was expected to slow to 3% in 2009.

This is not a very good sign for us, specially not for an interest rate drop, but I probably could have confirmed that before this, nto sure if next year is going to get better, possibly 2010 :)

If you had made a fixed deposit at some of the major banks of R1, 000 one year ago, you would have about R49,00 left.

On JSE (Johannesburg Stock Exchange), you would have R2.50 left of the original R1, 000.

With Sanlam Offshore investment, you would have less than R15.00 left.

But, if you had purchased R1, 000 worth of beer one year ago, drunk all of it, then turned in the cans for the aluminium recycling refund, you would have R214.00 cash.

Based on the above, the best current investment advice is to drink a lot so you can recycle.

but will it.... that's the questions.

Rands wants to strengthen

Johannesburg - While the rand is undervalued and wants to strengthen and given the right conditions can, this will be slow in coming while volatility persists.

This is the view of economist and market strategist from Econometrix Treasury Management, Russell Lamberti, who says the rand has been losing ground over the last two days in line with losses in US equities.

"Continued volatility can be expected at the moment. We are in a phase now where the direction from global equities is very significant and any normalcy is rand positive," explains Lamberti.

"Expect big daily ranges," he adds. Lamberti feels that the R9.40 per dollar level is a key one, and if it can close below this level it will be .

I am not so sure that it's going to get stronger, well not quickly anyways, that's for certain.

'No rate cuts before 2010'

Johannesburg - There are headwinds facing inflation like the weak rand, and views that rates will come down before 2010 are optimistic, says the chief economist from Investment Solutions, Chris Hart.

"Don't expect an interest rate cut anytime soon based on inflation fundamentals," he told delegates at the South African Chamber of Commerce and Industry's annual convention at the Johannesburg Country Club.

"I have an awful feeling the first possibility of a cut will only be in 2010, while the consensus is fixated on April and June next year. We will only get it if the financial market system is under distress here," he said.

Look i'm not entirely convinced, but so it seems, we're stuck with this interest rate fok I just hope it doesnt go up again!!

I spose in all essence we've been done a favour by the finance minister putting these rates up, look at the US and UK at the moment, they're bummed hahah

Wall Street loses .2 trillion

Washington - Monday's record stock plunge saw approximately .2 trillion wiped off the market value - the first-ever trillion-dollar one-day loss, according to the Dow Jones Wilshire 5000, the broadest measure of market activity.

The biggest-ever loss is almost double the size of the rescue package rejected by the US House of Representatives earlier on Monday.

Markets around the world panicked after lawmakers voted down the 0bn bailout for the financial system, raising the prospect of deeper financial turmoil.

The Dow Jones Industrial Average sank 777.68 points (6.98 percent) to close at 10 365.45, in its biggest single-day point decline ever.

Well, the ront is not looking so good at the moment, which is actually alright for us cause of our overseas clients, but according to finance 24 it's cause US banking giant Lehman Brothers have filed for bankruptcy, I wasnt entirely aware that banks could go bankrupt.

Geeee i'm glad I dont bank with them.

Rand slides after Lehman falls

Johannesburg - The rand weakened sharply on Monday as US banking giant Lehman Brothers filed for bankruptcy, with local stocks also set to fall.

Asian shares and the US dollar tumbled as the Lehman filing fuelled uncertainties about other banks and shook confidence in the financial system, boosting safe-haven assets.

Bank of America agreed to buy Merrill Lynch, also hit hard by the credit crisis, for bn.

The rand was trading at R8.10 against the greenback at 08:40 GMT, 1.35% softer than its close in New York on Friday of R7.9925 after earlier plunging to R8.16. 

Well, not all together too sure I agree with this chopper, but seen as though he's the investor, I spose he *might* be right :o

SA exciting - investment guru

Johannesburg - With its industries expanding through Africa and renewed hope of exploiting offshore oil, emerging markets guru from Franklin Templeton, Dr Mark Mobius, sees exciting investment opportunities in South Africa.

Mobius was writing in the latest Franklin Templeton investment newsletter about his just-completed visit to South Africa to speak to a number of companies about investment opportunities.

He says that while there are negatives like high inflation, electricity shortages, inflows of immigrants and politics, which he sees as a "conundrum", all is not negative.

"One of the most attractive aspects is the extension of industries into other parts of Africa," says Mobius.

He highlights MTN, the cellphone company which is headed by chief executive officer, Phuthuma Nhleko, as having expanded all over Africa, with more customers in Nigeria than South Africa. 

So the budget for the 2010 soccer has gone slightly over what it was supposed to, just by R2 Billion, which in essence means that we'll have to pay more tax, or do something in order for them to make it up, well done president Thabo Mbeki, and Finance minister :)

2010: SA R2bn over-budget

Cape Town - The budget overruns for South Africa's ten 2010 Soccer World Cup stadia will be north of R2bn, says deputy Finance Minister Jabu Moleketi.

He added that with the benefit of hindsight, South Africa would do things very differently when it came to managing the costs for an event like this.

"If we had just met the minimum Fifa requirements, we would be talking a very different story," said Moleketi referring to the complex designs host cities chose for their stadia as well as the inadequate costing done by host cities.

The anticipated overrun is over and above the additional money allocated to the projects in February this year by Finance Minister Trevor Manuel. So far, R6bn has been spent on the stadia, which includes R700m in professional services like architects and project managers. 

Rand spikes to five-month high

Johannesburg - The rand firmed 1.3% versus the dollar on Tuesday to its strongest level in five months. This follows official data showing credit growth quickened in June, backing the case for a hike in interest rates and making an investment in rand, which will earn more interest, attractive to overseas buyers.

At 15:00 the rand traded at R7.4375/$, the firmest it has been since late February, after closing on Monday at R7.5350.

The SA Reserve Bank released private sector credit extension (PSCE) and money supply (M3) data earlier.

 It's a wee pity we we've been enjoying this Rand to GBP conversion over the past few months, I spose it could not really last forever and ever amen.