The JSE is likely to follow Asian stocks down on Monday. Picture: MICHAEL ETTERSHANK
The JSE is likely to follow Asian stocks down on Monday. Picture: MICHAEL ETTERSHANK

It is going to be a blue Monday for the JSE, judging by Asian markets, which were dragged down by worse-than-expected Japanese GDP figures and a US official saying the deadline with China to conclude trade negotiations is not flexible.

Tokyo’s Nikkei 225 index was down 2.26%, rattled by Japan’s third-quarter GDP showing a contraction of 0.6%, double the expected 0.3% contraction.

“Traders returned from the weekend to face a growing wall of worry, with the world’s largest economies — the US, China and Japan — all reporting weaker-than-expected data, which pointed to moderating activity,” Reuters said.

US trade representative Robert Lighthizer said in a TV interview on Sunday that negotiations with China had to be concluded by March 1.

4am GMT is 6am South African time
4am GMT is 6am South African time
Image: Iress

Since the Group of 20 (G20) meeting in Argentina ended on December 1, President Donald Trump and his advisers had given contradicting statements on when the 90-day negotiation period ended and if it was a hard deadline.

In Hong Kong, Naspers’s main asset, Tencent, fell 1.35% to HK$306.40, contributing to a 1.4% slide of the Hang Seng index.

The rand recovered from the R14.21/$ reached on Sunday night to trade at R14.14/$, R16.16/€ and R18.02/£ at 6.50am.

laingr@businesslive.co.za