MARKET WRAP: JSE loses steam in line with global markets

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January’s rally appears to be losing momentum as investors take profit amid uncertainy about US interest rates

January’s rally appears to be losing momentum as investors take profit amid uncertainty about US interest ratesThe JSE ended weaker on Tuesday as losses mounted in the resources sector despite relatively range-bound metal prices and a weaker rand.

Equities markets in general appear generally be losing momentum in February after a blockbuster start to the year, with investors apparently booking profits made in January amid uncertainty about the course of US interest rates. Eskom has said load-shedding is inevitable for the next two years because of the shortfall in generation capacity. To help mitigate the fallout, President Cyril Ramaphosa has declared the energy crisis a national state of disaster and has announced he will appoint an electricity minister in the presidency to manage the situation. Critics say the measures and the appointment are unlikely to end debilitating power cuts any time soon.

 

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