JSE faces muted Asian markets on Tuesday
The JSE faces muted Asian markets on Tuesday morning, amid more good news regarding a Covid-19 vaccine.
Moderna’s vaccine candidate, requiring less refrigeration, appears to be more efficacious than that of Pfizer’s and BioNtech announced last week, when risk assets rallied.
Shares gained on Tuesday, but the reaction this time is more tempered relative to gains last week, said Axi chief global markets strategist Stephen Innes in a note. Regardless, the event has improved the global economic outlook.
“The rollout of a vaccine will inevitably take time. However, Moderna’s news suggests that other vaccine candidates could elicit a similar degree of efficacy,” said Innes.
“Clarity can only increase with the rollout of vaccine programmes, which is crucial for firms in assessing their 2021 hiring and investment plans,” he said.
In morning trade the Shanghai Composite was down 0.2% while the Hang Seng had risen 0.11%.
Gold was flat at $1,888.53/oz while platinum had risen 0.29% to $921.29. Brent crude was 0.41% higher at $44.08 a barrel.
The rand was a little weaker at R15.31/$, having risen 1.26% on Monday.
Rhodes Food Group is due to release its results for the year to end-September later, and has said it has benefited from the increased demand for long-life products during the pandemic.
Wilson Bayly Holmes Ovcon (WBHO), the largest remaining construction firm on the JSE, is due to release its results for its year to end-June later, and has recently warned of a loss, and more difficulties in Australia.
Asset manager NinetyOne is due to release its interim results to end-September later, and had reported a rise in assets under management in its quarter to end-June.
Source: businesslive.co.za
