Global markets are being held up by strong first quarter earnings releases and US data from last week that signals US inflation is being controlled. 


Over 80% of the S&P 500 has released Q1 results and 78% of them have exceeded expectations. If the trend continues it will be the highest proportion of “beats” in almost 10 years.  


This earnings growth is keeping valuations in check, the S&P is on a forward PE of 16, a fraction below the 5-year average at 16.1. 


Last week the Rand rallied strongly after US employment data and wage growth signalled inflation should remain within target and US interest rates will not be hiked aggressively. 


This is good for emerging markets and should provide support after a brief sell off to start May.   


The week ahead: 

Last week’s movers and shakers… 



Best Performers: SNV 10.9%; CMH 6.2%; NPN 6%; NED 5.3%; EXX 5.3% 

Worst Performers: SGL -17.8%; SNH -16.2%; DTC -16%; IMP -14.5%; BAT -11.8% 


Other Economic data releases of interest… 


New Buy 



Short term Ideas 


Long Term Ideas