September Economic Update:
- The JSE All Share Index was relatively flat in September and only gained 0.2%.
- The best performing sector was the financial sector which saw a gain of 3.5%. Resources and Industrials were the loses for the month down 0.5% and 0.9% respectively.
- The South African Reserve Bank opted to keep interest rates unchanged.
- Most of the international indices were positive for the month. The Nikkei 225 showed the biggest gain of 5.8% followed by the Euro Stoxx 50 which was up 4.3%.
- The ECB (European Central Bank) cut its interest rates to negative 0.5% and hinted that they will start buying debt from November.
- The US Federal Reserve cut interest rates by a quarter of a percentage for the second time this year.
- In mid-September some oil refineries in Saudi Arabia were attacked by drones and missiles which had a negative impact on the oil price.
- The US House of Representatives announced that they will begin the process of impeachment against President Donald Trump.
- Despite ongoing trade wars, Brexit and Middle East tensions, the outlook for global growth is looking positive.