Domestic stocks remain resilient to US crunch

An analyst at Capital Securities says this is partly because revenue sources for these companies are not likely to be affected by the sub-prime mortgage crisis in the US.

However, Leutlwetse Tumelo points out that ripple effects of world markets are being felt by dual-listed companies. "Stock prices of dual-listed companies have been on a decline on the local market, reflecting trends on their primary markets," Tumelo says. "We are likely to see a further weakening of share prices in dual- listed stocks. Domestic stocks are likely to continue being resilient to the fall on European markets."