Foreigners buy South African assets in bulk
Foreign investors bought a net R2.6bn worth of local shares over the past week, bringing the total for the year so far to R30.2bn.Adding in the December figures, total net purchases balloons to R60bn, according to the JSE data.Perceptions of an improving local economy as a result of political changes have fuelled a buying frenzy, leaving a few of the stocks at record highs.Over past week, foreigners were net purchasers of R3.8bn, bringing the tally for 2018 to R11.3bn.The portfolio inflows have boosted the value of the rand and, by implication, the inflation outlook. The rand has outperformed both developed and emerging-market currencies since December.Concerns around land expropriation without compensation have not appeared to have had a marked effect on foreign investors’ perception of SA — not in the short term, at least.Parliament’s constitutional review committee has until August to come make recommendations on the way forward on the matter, which has been a hot political potat...
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