JSE faces Asian market pressure on Friday amid lockdown jitters

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Global stocks have been propelled higher this week by stimulus and vaccine hopes, with tech stocks faring particularly well

The JSE faces weaker Asian markets on Friday morning, as markets continue to contend with rising Covid-19 numbers in the US, even as economic data remains somewhat positive.

US jobless claims for last week were better than expected, helping to lift sentiment regarding the outlook for the world’s largest economy. “However with new shutdowns announced across the nation these numbers could deteriorate in the coming weeks and even when they stabilise, firms won’t be rushing to hire any time soon,” said BK Asset Management MD for foreign exchange strategy Kathy Lien in a note.

In morning trade the Shanghai Composite was down 1% and the Hang Seng 1.17%. Tencent, whose largest single shareholder is Naspers, had fallen 1.69%. Gold was down 0.15% to $1,800.15/oz while platinum had fallen 0.79% to $879.42/oz. Brent crude was 0.76% lower at $42 a barrel.There is little on the local corporate or economic calendar on Friday, while US producer inflation data is due later.

 

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