JSE to contend with mixed Asian markets on Friday after turbulent week

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.

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