JSE likely to push higher in line with global markets

The JSE is likely to have a positive session on Tuesday given the momentum in Asia, where Japan’s Nikkei 225 and Hong’s Hang Seng were up 2% and 1.67% apiece  

The Asian share markets took their lead from Wall Street, where the Dow settled nearly 2% to the good on Monday, signalling the so-called Santa Clause rally in which equities traditionally outperform in December.

The JSE’s all share index could follow suit, despite concerns about the Omicron variant that sent investors into a panic mode late in November. However, early indications suggest that the impact of the variant is not as severe as initially feared.

The rand, which is barometer of risk-on sentiment because of its liquid status, was up 0.12% to R15.89/$.

Elsewhere, the yield on the benchmark US 10-year note held steady at 1.44%, after tumbling on Friday in the wake of the US nonfarm payrolls report.

The US economy created 210,000 jobs in November, far less than the market expected, raising questions about the strength of the labour market.

Brent crude was up 1% to $73.85 a  barrel, but platinum group metals were a tad lower. Platinum was down 0.12% to $935.

mahlangua@businesslive.co.za