JSE faces mixed Asian markets on Monday amid Covid-19 jitters
Rising case numbers in the US continues to weigh on sentiment, while SA sinks deeper into junk status
The JSE faces mixed Asian markets on Monday morning, with the focus still on rising Covid-19 numbers, including a surge in the US.
The world’s largest economy is reporting record infections, raising the prospect of the Thanksgiving holiday being disrupted, as well as a longer-than-expected return to economic normality.
Locally, markets will need to react to SA’s downgrade further into junk status by Moody’s Investors Service and Fitch Ratings, though the rand has been stable.
Pressure on the dollar due to Covid-19 has helped keep the local currency stable, said Peregrine Treasury Solutions executive director Bianca Botes in a note.
In morning trade the rand was 0.26% firmer at R15.37/$.
The Hang Seng was down 0.18% while Australia’s All Ordinaries Index had risen 0.6%.
Tencent, which gives direction to the JSE via Naspers, had risen 0.6%.
Gold had risen 0.11% to $1,872.90/oz while platinum had gained 0.99% to $950.28. Brent crude was 0.13% higher at $45.14 a barrel.
Locally, Naspers is due to release its results for the six months to end-September later, saying in a recent trading update headline earnings per share could rise as much as 27.3%. The group said it has been affected by the pandemic, but has seen a recovery in some of its businesses.
Hospital group Netcare is due to release its results for the year to end-September, and has warned of a severe profit hit from Covid-19, and is likely to report a headline loss.
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