JSE faces Asian market pressure on Tuesday as investors eye US inflation

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Caution prevails as US earnings season gets under way and investors await inflation data

The JSE could struggle to recover Monday’s losses on Tuesday, facing continued Asian market pressure, as investors fret about expected US inflation numbers and corporate earnings reports.

Numerous US firms, notably banks, will report this week on second-quarter earnings which could indicate how well they are faring amid the economic uncertainty. “While the jobs report on Friday highlighted that the US is faring better than the rest in the race to avoid a recession, the rest of the world is sinking under the weight of a cost-of-living crisis and higher interest rates,” Erlam said.

Twitter lost more than 11% on Monday as the market reacted to news that a legal battle is in the offing due to Tesla CEO Elon Musk seeking to pullout of his proposed takeover of the social media firm.

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