MARKET WRAP: JSE snaps losing streak on Naspers, but overall picture still negative
Retailers and banks recover on the stronger rand as the JSE all share posts its third consecutive week in the red
The JSE ended a disastrous week on a high note on Friday, closing more than 2% up as risk-on sentiment took hold of markets again, spurred on by upbeat Chinese economic numbers. The market was also supported by a strong opening on the Dow, rising 1.03% at the JSE’s close, as the latest quarterly banking earnings numbers pleased the market. Gains on the JSE were led by Naspers, which recovered more than 8% in a relief rally and paried losses for the year so far to 16%. At one point in the week it was down more than an annual 20% as part of a global selloff in tech stocks with its Chinese Tencent investment turning sour. Analysts said it would take more than a one-day improvement in Naspers for them to increase exposure to the stock. “We’ve been nervous on Naspers for many months now and have minimal exposure to passive strategies where there is big Naspers exposure,” said Progressive Wealth analyst Peter-John Marais. Tencent’s rise has been too aggressive amid the uncertainty around ...
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