JSE faces mixed Asian markets on Monday as US Covid-19 cases surge
Rising Covid-19 numbers in Europe and the US threaten sentiment, while local focus is on the medium-term budget on Wednesday
The JSE faces mixed Asian markets on Monday morning, with focus remaining on US politics and rising Covid-19 numbers in the US and Europe.
Spain has introduced a national curfew, while cases have risen sharply in the US, where political developments are also being closely watched.
“Markets are struggling for traction out of the gates this morning on familiar themes,” said Axi chief global markets strategist Stephen Innes in a note.
“The US stimulus stalemate is now getting amplified through concerns about rising virus cases that could ultimately result in more stringent mobility restrictions and could even force additional business closure, which will most certainly put the economic recovery on the back foot into year-end,” Innes said.
In morning trade the Shanghai Composite was down 0.72% while Hong Kong’s Hang Seng rose 0.5%.
Tencent, which influences the JSE via Naspers, lost 0.35%.
Gold was down 0.22% to $1,898.40/oz while platinum had given back 1.23% to $892.12. Brent crude was 1.46% weaker at $41.05 a barrel.
The rand was 0.43% weaker at R16.25/$.
There is little on the local corporate or economic calendar on Monday, with the main feature this week the medium-term budget policy statement on Wednesday.
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