JSE lifts as Naspers jumps 3% in risk-on trade
Reports that the US and China are close to ending their year-old trade conflict buoyed global risk assets on Monday morning, with the JSE pushing higher, led by market heavyweight Naspers.
Naspers gained 3.53% to R3,162.97, tracking gains in its main asset, Hong Kong-listed Tencent.
The all share gained 0.61% to 56,545.9 points and the top 40 rose 0.32%. Industrials gained 1.41% and food and drug retailers 0.95%. Gold miners fell 2.84%.
Gold was flat at $1,291.40/oz while platinum had fallen 0.61% to $852.99. Brent crude was 0.52% higher at $65.22 a barrel.
Reports on Sunday suggested the US and China had both made the concessions required to ink a new trade deal, which could take place during a meeting later in March between US President Donald Trump and Chinese President Xi Jinping.
Asian and European markets were higher, with the rand also benefiting from risk-on trade.
Local miners were under some pressure, however. Local gold miners are facing the prospect of a strike by the Association of Mineworkers and Construction Union (Amcu), which could begin in the coming days.
Last week, 10 mining houses went to court to interdict Amcu’s secondary strike, which is planned in support of that union’s wage battle at Sibanye-Stillwater. The labour court had reserved judgment.
Focus this week will be on news from the trade war, while local GDP numbers for the fourth quarter are due on Tuesday. US nonfarm payrolls data on Friday could generate volatility in the rand, as the market scrutinises the numbers for clues of future US Federal Reserve policy.
Harmony Gold gave up 3.76% to R28.38 and Gold Fields 3.36% to R54.60.
MAS Real Estate was flat at R23.01. Earlier it reported distribution per share of 3.78 euro cents for the six months to end-December, up from the 3.58c declared in the prior comparative period.
Stadio jumped 8.41% to R3.60. Earlier it said that revenue for the year to end-December jumped five-fold to R632m from the corresponding period in 2017, with the company reporting that it grew the number of contact students enrolled 15%.
Source: businesslive.co.za
