JSE to contend with mixed Asian markets on Wednesday
The local bourse has been boosted by hopes of Covid-19 peaking in some counties, although deep uncertainty persists
The JSE’s two-day winning streak is under threat on Wednesday, with Asian markets mixed as investors eye declining Covid-19 numbers in some hard-hit areas, and volatility in the oil price.
Italy, Spain and New York have all reported progress in containing the pandemic, and this has helped the rand to recover from record lows earlier in the week.
US markets, however, came under pressure late on Tuesday, with the focus on an upcoming Organisation for the Oil-Producing Countries (Opec) meeting on Thursday, when it is hoped a production deal can be struck with Russia.
Locally, there is speculation that SA’s 21-day lockdown could be extended, said Peregrine Treasury Solutions executive director Bianca Botes.
In morning trade Hong Kong’s Hang Seng had fallen 0.99%, while Japan’s Nikkei had risen 0.45%.
Tencent, which influences the JSE via Naspers, was down 0.98%.
Gold was up 0.2% to $1,650.80/oz while platinum had added 0.4% to $736.50. Brent crude was up 0.83% to $32.66 a barrel.
The rand was 0.3% weaker at R18.32/$, well off its R19.34 reached on Monday.
Business confidence data for March is due later, while the corporate calendar is bare.