JSE opens higher as banks gain on steady rand
Naspers slips below R3,000 as markets trade cautiously ahead of proposed new tariffs on Chinese goods and Tencent loses almost 4% in Hong Kong trade
The JSE opened firmer on Thursday as banks and financials rose on a steady rand but retailers remained under pressure. The rand was at R15.42 to the dollar; it opened around R15.53 after weakening to R15.697 on Wednesday. Naspers shares slipped below R3,000 for the first time since May in early trade as Chinese internet company Tencent tumbled 3.6% in Hong Kong. Tencent, of which Naspers owns a third, has been under pressure lately as the Chinese authorities clamp down on gaming in the country. Tencent earns most of its profits from game downloading and is dependent on the issuing of licences by the Chinese authorities. Naspers recovered marginally later in the morning but has not closed higher in five sessions and is 13% down in 2018. It derives as much as 84% of revenue from outside SA, with Tencent the main contributor. US markets ended Wednesday’s session mostly lower or flat, with tech and consumer shares on the S&P 500 and the Nasdaq losing ground. Twitter and Facebook were am...
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