MARKET WRAP: JSE closes weaker on concern about US growth policies
As Trump’s is mired in controversy, confidence in his promised financial and infrastructure reforms is fading; European markets also head down
After a positive opening, the JSE turned negative in risk-off trade by the close amid growing concern that US President Donald Trump’s fiscal and growth policies were in jeopardy after he abolished the Manufacturing Council, and Strategy and Policy Forum. Market confidence in Trump’s economic policies have boosted US equity markets so far in 2017 with the Dow Jones up more than 10%. However, his planned tax and infrastructure spending programmes have not materialised, as he becomes bogged down in continued controversy surrounding his Twitter-based presidency. Rumours at the close were that Gary Cohn was set to resign as director of the national economic council, creating further turmoil in Trump’s economic team. The Dow was down 0.52% at the JSE’s close. European markets were also lower with the FTSE 100 having lost 0.59%. Trading on the JSE was mixed for most of the day, with banks giving back earlier gains. General retailers recovered, with gold shares also rising. The all share c...
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