The JSE is headed for its worst monthly performance in about a decade, raising fears that the downside momentum will continue. The current post-crisis wobbles in global markets have seen, for the first time in a long time, almost every major asset class falling into negative territory for the year. In the US in October, even high-flying technology stocks have been pummelled, and last week the last of the S&P 500’s advance evaporated and left investors facing a sea of red. The third-quarter results of Amazon and Alphabet last week reignited the sell-off. The S&P 500 fell 3% or more only twice in 2012-17, but has done so four times in 2018 — and twice in October. Analysts and investors insist they are not panicking yet. While October has been a bad month, a calm stretch had preceded it. The US stock market has historically averaged more than four falls of 5% a year, and suffers a 10% correction about once a year. Hong Kong’s Hang Seng and China’s Shanghai Composite are also down more ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.