JSE faces lower Asian markets on Friday
A surge in Covid-19 numbers in the US and Europe has weighed on sentiment this week, while the US national election draws nearer
The JSE faces subdued Asian markets on Friday morning, with activity likely to be a little muted ahead of the US national election next week.
The US election on November 3 will determine who is control of the executive and legislative arms of the world’s largest economy, and therefore who controls the levers that will determine a next round of Covid-19 fiscal stimulus.
Asian markets were mostly a little lower in morning trade, with the Shanghai Composite down 0.1% and Japan’s Nikkei 0.72%.
Things are likely to settle down a bit after volatility due to concern over rising Covid-19 numbers, while most derisking ahead of the US election is likely to have already happened, said Axi chief global markets strategist Stephen Innes in a note.
“But since we are firmly in the pre-election window and lacking any meaningful equity market institutional liquidity, I suspect stock investors will tread very carefully today,” said Innes.
Tencent, which gives direction to the JSE, had risen 0.58%.
Gold was up 0.52% to $1,876.96/oz while platinum had gained 1.49% to $859.76. Brent crude was 0.83% higher at $37.88 a dollar, having slumped more than 7% over the past two sessions.
Mobile operator MTN is due to report on its results for the nine-months to end-September later, with some of its operations in Africa recently reporting it has seen a surge in demand for data services amid the pandemic.
International focus remains on Covid-19 numbers, and news flow regarding the US election.
Would you like to comment on this article or view other readers' comments?
Register (it’s quick and free) or sign in now.
Please read our Comment Policy before commenting.