JSE drops as trade-war jitters likely to push into 2020
The JSE was lower on Thursday morning, in line with most global markets as fears mount that the phase-one trade deal between the US and China may not be completed any time soon.
Reuters reported on Wednesday that sources close to the White House say the partial trade deal might only be signed in 2020.
“It’s becoming increasingly doubtful that negotiators are going to find a solution that enables a deal to be signed before the end of the year, leaving Trump in an unenviable situation on December 15, when new tariffs are due to come into force,” Oanda senior market analyst Craig Erlam said.
Earlier, the Shanghai Composite was down 0.25%, Hong Kong’s Hang Seng 1.57% and Japan’s Nikkei 225 0.48%.
At 11.04am, the JSE all share was down 1.29% to 56,572.1 points and the top 40 1.34%. Banks lost 1.81% and resources 1.78%.
Hospitality Property said on Thursday that rental income decreased 3% to R335m in the six months to end-September. Its share price was up 2.6% to R7.90
Tsogo Sun was up 0.9% to R12.39. It said on Thursday that basic and diluted adjusted headline earnings per share fell 34% to 6.9c in the six months to end-September.
Locally, markets are awaiting the Reserve Bank’s monetary policy decision later in the day.
Source: businesslive.co.za