JSE to contend with mixed Asian markets on Friday after turbulent week
The local bourse needs to gain 1.8% to reach last week’s close, with markets still volatile as rising energy costs fuel inflation jitters
28 January 2022 - 07:13
by Karl Gernetzky
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
The JSE looks set to open to mixed Asian markets on Friday morning, underscoring the turbulent nature of the week, which included the local bourse’s worst day since March 2020.
Investor focus this week was on the US Federal Reserve and corporate earnings, with the Fed striking what was seen by many as a hawkish tone, leading markets to partially price in five interest rate increases for the world’s largest economy in 2022.
Oil also pushed above $90 a barrel for the first time since 2014 on Thursday, while US markets were volatile overnight, with GDP data for the fourth quarter beating expectations, with the 5.7% annual growth in 2021 the fastest since 1984.
Apple, the world’s most valuable listed company, also reported a record quarterly performance.
In morning trade on Friday Japan’s Nikkei was up 2.02%, while the Hang Seng had given back 0.84% and the Shanghai Composite was flat.
Tencent, which can give direction to the JSE via the Naspers stable, had fallen 1.04%.
Gold was flat at $1,798.52/oz while platinum had risen 0.24% to $1,027/oz. Brent crude was down 0.4% at $89.44 a barrel.
The rand was 0.14% firmer at R15.43/$, having weakened 0.93% on Thursday, in spite of the Reserve Bank hiking interest rates by 25 basis points, which was expected.
The local corporate and economic calendars are bare on Friday, when the JSE will need to gain 1.8% to close where it did last Friday.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
JSE to contend with mixed Asian markets on Friday after turbulent week
The local bourse needs to gain 1.8% to reach last week’s close, with markets still volatile as rising energy costs fuel inflation jitters
The JSE looks set to open to mixed Asian markets on Friday morning, underscoring the turbulent nature of the week, which included the local bourse’s worst day since March 2020.
Investor focus this week was on the US Federal Reserve and corporate earnings, with the Fed striking what was seen by many as a hawkish tone, leading markets to partially price in five interest rate increases for the world’s largest economy in 2022.
Oil also pushed above $90 a barrel for the first time since 2014 on Thursday, while US markets were volatile overnight, with GDP data for the fourth quarter beating expectations, with the 5.7% annual growth in 2021 the fastest since 1984.
Apple, the world’s most valuable listed company, also reported a record quarterly performance.
In morning trade on Friday Japan’s Nikkei was up 2.02%, while the Hang Seng had given back 0.84% and the Shanghai Composite was flat.
Tencent, which can give direction to the JSE via the Naspers stable, had fallen 1.04%.
Gold was flat at $1,798.52/oz while platinum had risen 0.24% to $1,027/oz. Brent crude was down 0.4% at $89.44 a barrel.
The rand was 0.14% firmer at R15.43/$, having weakened 0.93% on Thursday, in spite of the Reserve Bank hiking interest rates by 25 basis points, which was expected.
The local corporate and economic calendars are bare on Friday, when the JSE will need to gain 1.8% to close where it did last Friday.
gernetzkyk@businesslive.co.za
Asian markets strike cautious tone ahead of Fed meeting
JPMorgan backs ‘just transition’ to green energy in SA
Rand slides nearly 1% as US Fed signals policy tightening
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Related Articles
Rand slides nearly 1% as US Fed signals policy tightening
Asian shares plummet after Fed signals rates hike
Gold holds firm amid concerns over Russia-Ukraine tensions
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.