JSE could open higher on Wednesday as Tencent leaps
SA’s main bourse is trading at its best level in nearly six months, in line with international markets
The JSE looks poised for a strong opening on Wednesday thanks in part to a surge in the market value of Naspers-associate Tencent, which announced plans this week to buy back its own shares. Tencent, the owner of WeChat that is 31% held by JSE-heavyweight Naspers, was up 2.4% at the lunch break in Hong Kong after saying it planned to allow directors to buy back up to 10% of its shares. The Hang Seng index, in which Tencent’s weighting is about 10%, was up 0.9%. In Japan, the Nikkei 225 index was up 0.8%, while equity markets in Korea, Singapore and Australia also rose. BHP Group, which is the JSE’s third-largest constituent behind Naspers, and British American Tobacco, was 1.9% higher in Australia. That should help the JSE extend its gains, with the local bourse trading at its best level in nearly six months, in line with international markets. The JSE closed flat on Tuesday after adding 1.2% to close at above 57,000 points on Monday. Sentiment has been boosted by a national ratings...
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