The JSE was little changed on Monday, while its global peers were mixed, with investors betting on slower rate hikes by the Federal Reserve after last week’s cooling inflation data.
The all-share is hovering near the previous session’s record high as investors cheered an indication that inflation in the world’s largest economy is slowing, giving market participants hope the Fed might shift to a slower pace of interest rate increases.
Moving into the new week, market participants will get insights into local inflationary pressures, when the December consumer inflation data is released on Wednesday. CPI is expected to show a slight moderation in the annual rate relative to November.
The JSE all share and the top 40 were little changed, with the former at 79,262 points. Financials had gained 0.25% and banks 0.15%. The precious metals and mining index lost 1.08%, resources 0.55% and industrial metals 0.33%.
At the same time in Europe, France’s CAC 40 had added 0.69% and Germany’s DAX 0.19%.
Earlier in Asia, the Shanghai Composite gained 1.01%, while Hong Kong’s Hang Seng lost 0.12% and Japan’s Nikkei shed 1.14%.
The World Economic Forum starts today in Davos, Switzerland.
President Cyril Ramaphosa won’t be attending this year’s meeting, as he is dealing with issues facing Eskom.
It is quiet on the data front, with the local calendar bare and the US celebrating Martin Luther King Day.
At 10.05am, the rand had weakened 0.58% to R16.945/$, 0.51% to R18.3442/€ and 0.77% to R20.7232/£. The euro was unchanged at $1.0828.
Gold lost 0.41% to $1,911.62/oz and platinum 0.55% to $1,056.17/oz. Brent crude was 1.04% weaker at $84.47 a barrel.
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