JSE inches lower after Trump’s tariff threats
US president threatens to levy new tariffs on China, a reminder that the prolonged trade war remains unresolved
The JSE weakened on Wednesday, amid cautious trade on global markets, after US President Donald Trump issued fresh tariff threats against China.
Trump has threatened the tariffs in response to China’s alleged failure to live up to a pledge to increase purchases of US farm products.
US markets fell on Tuesday, coming off recent record highs, while Asian markets were also lower on Wednesday morning.
At 9.05am the all share was down 0.18% to 57,950.5 points and the top 40 0.18%. Banks were down 0.79%, platinums 2.69% and gold miners 0.74%.
Gold was flat at $1,405.98/oz while platinum was up 0.26% to $840.35. Brent crude was up 0.5% to $64.60 a barrel.
Naspers was down 0.58% to R3,473.87.
Standard Bank fell 0.77% to R190.66.
Diversified miner Anglo American added 0.41% to R382.41 and BHP 0.63% to R352.59.
Aspen Pharmacare was down 1.42% to R102.39.
Local focus on Wednesday is on retail sales data for May, due to 1pm local time. The consensus is that retail sales rose 1.6% in May.
The major local event this week, however, is on Thursday, when the Reserve Bank is expected to lower interest rates by 25 basis points.
Pointing to widespread expectations of looser US monetary policy, some analysts have said there is a chance of SA seeing another 25 basis point cut in September.