JSE loses 1% as fear grips global markets
Dow plunges as housing data spooks investors, with US markets now down for the year and a Fed rate hike on the cards
The JSE followed global markets at the opening on Thursday, with the all share shedding more than 1% as global challenges kept investors on the edge. Local banks and retailers were early casualties as the rand hit R14.5682 to the dollar from R14.5563. The sell-off in local bonds continued after finance minister Tito Mboweni’s medium-term budget policy statement on Wednesday. The R186 was last bid at 9.43% from 9.31%. The Dow plunged 2.41% on Wednesday as investors reacted to weaker-than-expected company earnings and concerns around future economic growth on weak data. The Dow is down 7.09% for October and 0.55% for 2018. The FTSE 100 was 0.83% lower at the opening on Thursday. The Nikkei 225 weakened 3.72% and the Hang Seng 1.71%. While buyers returned to the market on weakness earlier in the week, there was little sign of that on Wednesday. New home sales in the US fell to a two-year low in September as higher prices and mortgage rates began to hit demand. Last week also showed dec...
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