JSE could hold on to its gains on Tuesday
The JSE could hold on to its gains on Tuesday as global sentiment improves, thanks to positive data out of both the US and China.
On Monday, the all share added 1.2% to close at above 57,000 points, buoyed by banks and retailers in the wake of a national ratings reprieve from Moody’s over the weekend.
After the JSE’s close, US stocks jumped by a similar amount partly due to a data release which showed a rebound in manufacturing activity in that market. Over the weekend, data showed that China’s manufacturing sector had also expanded.
On Tuesday, Hong Kong’s Hang Seng Index was 0.1% higher, while Japan’s Nikkei 225 Index was up the same amount. Stock markets in Korea and Singapore also rose.
A 0.7% increase in Tencent’s share price in Hong Kong bodes well for Naspers’s opening on the JSE, although BHP Group was 0.1% down in Australia as commodity prices softened.
Meanwhile, no major financial results are expected on the JSE on Tuesday. Similarly, no local data releases are due.
The rand, which posted strong gains on Monday, was slightly weaker in early trade. Against the dollar it was 0.4% down at R14.20/$, while the local currency lost 0.1% against the pound, to R18.56/£, and 0.3% versus the euro, to R15.91/€.
Source: businesslive.co.za