MARKET WRAP: JSE gains on US-China trade-deal optimism

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The Reserve Bank is expected to publish the leading business indicator for August on Tuesday

The JSE closed higher on Monday, tracking most global markets as investors cheered some positive comments in the US-China trade war.

Markets are also awaiting some direction regarding Brexit after UK lawmakers opted not to back Prime Minister Boris Johnson’s proposed deal at the weekend. Johnson has written to Brussels asking to extend the October 31 deadline. “We believe the rand will remain volatile, with the resolutions to the Eskom crisis, security of electricity supply and alleviating pressures on economic growth all key. SA is likely to see Moody’s Investors’ Service downgrade the country outlook to negative post the medium-term budget policy statement, signalling a credit-rating downgrade will occur unless the escalation in the debt trajectory is halted,” Bishop said.

The Dow was flat at 26,790.76 points, while, in Europe, the FTSE 100 added 0.22%, France’s CAC 40 0.47% and Germany’s DAX 1.07%. Earlier, the Shanghai Composite and Hong Kong’s Hang Seng were flat, while Japan’s Nikkei 225 rose 0.25% Balwin Properties leapt 6.73% to R3.17. The landlord said on Monday that its headline earnings per share increased 5% to 40c in the six months to end-August.

 

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