JSE slips as firmer dollar weighs on banks and miners
Upbeat US corporate reports sent US markets to a record high on Tuesday, but a firmer dollar puts pressure on interest-rate sensitive stocks and miners
The JSE slipped in broad-based losses on Wednesday morning, as positive US corporate earnings reports failed to spark risk-on global trade. Concerns that the Chinese government might pare stimulus measures was weighing on stocks. The dollar was benefiting from both interest in safe-haven assets, as well as from healthy reports from major US companies. Diversified miners and retailers were under the most pressure, with the former reacting to the oil price easing off a six-month high reached on Tuesday. A firmer dollar environment generally puts pressure on miners, as it makes commodities more expensive for those buying in other currencies. Local news was also downbeat, with the FNB/Bureau of Economic Research business confidence index showing that conditions were gloomy in the first quarter of 2019. The index fell to two points from seven points in the prior quarter. Load-shedding, tax increases, fuel price increases and prolonged strikes in some sectors all weighed on confidence, FN...
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