JSE faces weaker Asian markets on Thursday
The JSE faces subdued Asian markets on Thursday, with focus on US stimulus talks and the upcoming US presidential debate.
Stock markets are showing signs of fatigue over the lack of progress in the talks, said Axi chief global markets strategist Stephen Innes in a note. This was particularly affecting smaller tech firms, he said, and it was difficult to pick long-term positions with so much short-term volatility.
“Hence with investors suffering a severe case of stimulus talk exhaustion, more and more market participants opt for the sidelines to avoid the steam rollers known to pancake markets in low liquidity conditions,” Innes said.
In morning trade, the Shanghai Composite was down 0.83% and Japan’s Nikkei 0.85%.
Tencent, which influences the JSE via Naspers, had lost 1.3%.
Gold was down 0.54% to $1,913.58/oz, while platinum was little changed at $886.58. Brent crude was 0.38% weaker at $41.54 a barrel.
The rand had weakened 0.51% to R16.39/$.
Information, communication and technology group Datatec is due to release its results for the six months to end-August later, and is expected to report a fall in headline earnings per share of between 17% and 35%.
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