JSE tracks weaker global markets, with Naspers down 2%
US markets closed weaker on Tuesday, snapping a six-day winning streak, weighing on Asian markets on Wednesday
The JSE was weaker on Wednesday morning, in line with global equity markets, as sentiment cooled after recent sessions of gains.
Global markets have been buoyed by expectations of dovish US Federal Reserve monetary policy, but the market was starting to feel somewhat tired, said Nedbank Corporate and Investment Banking analysts in a note. Foreign trade remained concentrated in Naspers.
At 9.15am Naspers was down 1.8% to R3,437.07, tracking losses in Hong Kong listed Tencent.
The all share was down 0.46% to 58,498.4 points and the top 40 0.51%. Banks were down 1.4%. Gold miners were up 3.59% and platinums 1.75%.
Anglogold Ashanti gained 3.68% to R220.14.
Absa was down 1.36% to R171.83.
Gold was up 0.64% to $1,335.19/oz and platinum 0.33% to $818.61. Brent crude was down 1.29% to $61.68 a barrel.
Focus on Wednesday is on economic data, with retail sales numbers for April due at 1pm. The consensus, according to macroeconomics website Trading Economics is for 1.2% year on year growth.
Manufacturing data on Tuesday had surprised to the upside, growing 4.6%, compared to market expectations of 1.3% growth.
The positive data, for the first month of SA’s second quarter, has raised some hopes that SA has avoided a technical recession in the first half of the year. A technical recession refers to two consecutive quarters of economic contraction.