JSE may escape global tech rout
Telkom, Investec Property Fund and African Equity Empowerment Investments are expected to release results on Tuesday
Nasdaq’s 2.78% drop on Monday, led by Apple falling 5% to $194.17, set the tone for Asian markets on Tuesday morning.
Tokyo’s Nikkei 225 index was down 2.36% and Sydney’s ASX 200 index was down 1.75%.
A tweet from US President Donald Trump on Monday blaming the latest tech stock rout on the Democratic Party winning control of the US House of Representatives provided some levity for market commentators.
The JSE, which fell 1.94% on Monday, may avoid following Nasdaq considering Naspers’s main asset, Tencent, was up 0.37% to HK$271.60.
JSE-listed companies diarised to release results on Tuesday include Telkom, Investec Property Fund and African Equity Empowerment Investments.
Telkom has not issued a trading statement, as would be required if its interim earnings for the six months to end-September differed by more than 20% of the
Investec Property Fund said in a trading update on September 28 that it expected to increase its interim dividend by about 5%, which is below its target.
“The slight decrease in guidance is based on the continued deterioration of market dynamics, specifically within the South African office and industrial sectors,” the trading statement said.
African Equity Empowerment warned shareholders on Monday that it expected to report a drop in headline earnings per share (HEPS) of up to 84%.
Ayo Technologies, which was unbundled from African Equity Empowerment in December, released its maiden results at 5.50pm on Monday.
Ayo’s results showed it has invested little of the R4.3bn it controversially raised from the Public Investment Corporation (PIC) via its initial public offering. It reported revenue of R639m for the year to end-August, and net profit of R148m.
The rand was trading at R14.41/$, R16.21/€ and R18.55/£ at 6.50am.