First National Bank’s property strategist, John Loos, says that while the hike in South Africa’s repo rate to 8,5% is generally negative for property, it is not expected to be the cause of any property trend changes. Loos said that residential property had already started slowing a considerable time ago, and retail was set to start cooling as well, regardless of rate hikes.

A sell-off in resources stocks pushed the JSE into the red by 191 points by midday Wednesday, with players also seen adopting a cautious stance ahead of the key decision on interest rates due on Thursday. By 12.10pm, the all-share index was down 0,84%, with gold off by 2,58% and resources by 1,55%.

The JSE lost a little ground in range-bound trade by midday, with traders becoming a little more hesitant to dive in ahead of the Monetary Policy Committee (MPC) meeting this week. By 12.24pm, the all share index was up 0,17%, with platinum leading the way with a gain of 0,77% and industrials adding 0,21%.

South African Minister of Finance Trevor Manuel said on Thursday evening that the modern world offered many opportunities for public finance innovation and for new kinds of partnership with the private sector and across national boundaries, but that getting it right meant keeping it simple.

The JSE was mixed by midday on Wednesday, with the resources index 341 points in the red, but some buying interest was starting to stir in industrials, retailers and banks, as well as gold. By 12.27pm, the all-share index was up 0,12%, or 28 points, with financials and industrials still leading the way as they moved up 0,84% and 0,82% respectively.

South African Reserve Bank Governor Tito Mboweni on Tuesday evening flagged as important the upward bias in place in consumer price index inflation to 5% in August 2006 and said that while inflation had remained within the target band in recent months, price pressures had started mounting due to increases in oil, food, sustained consumer demand and the depreciation in the rand.

The JSE was mixed and moving sideways by midday on Monday, although traders were keeping a firm eye on resources counters, the rand, gold and the oil price for another potential push firmer. By 11.49am, the all-share index was up 0,32%, with resources leading the way. The resources index set the pace with a 1,10% gain, the gold index was 1,32% firmer while platinum was up by 1,34%.

After posting gains of 1% on Thursday and ending on a fresh closing high of 22 491 points, the resources sector continued to weave its magic for the market by midday on Friday as the 22 612 level was struck. The JSE’s all share index has now surpassed the previous record trading high of 22 549,01 set on September 5.

South African Reserve Bank (SARB) governor Tito Mboweni said on Thursday that the three things on his mind at the moment were strong consumer demand, the weakening current account deficit and whether the SARB was moving with the curve of interest-rates globally, was behind the curve, or ahead of it.