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Cape Town - International and local investors seemed to like Finance Minister Pravin Gordhan’s budget, and both the JSE and currency markets showed little reaction to any particular announcement.
The fact that Gordhan did not bow to any political pressure to table a populistic budget a few months before a difficult general election probably counted for more than any negative news or reviews about the budget itself.
After a volatile and fairly weak morning, share prices recovered while investors sat with one ear tuned to the proceedings in parliament.
The JSE Top-40 index added some 150 points since the start of the budget speech at 14:00, after it took a knock of around 250 points from an early morning high. The rand lost 10c from R10.75 per dollar to R10.85, while benchmark government bonds were mostly unchanged.
In all, the budget did not contain any nasty surprises which could affect any particular sector in the market significantly.
Increases in the fuel levy and excise duty on alcohol and cigarettes were in line with expectations, as well as the level of moderate tax relief.
- FIn24
The fact that Gordhan did not bow to any political pressure to table a populistic budget a few months before a difficult general election probably counted for more than any negative news or reviews about the budget itself.
After a volatile and fairly weak morning, share prices recovered while investors sat with one ear tuned to the proceedings in parliament.
The JSE Top-40 index added some 150 points since the start of the budget speech at 14:00, after it took a knock of around 250 points from an early morning high. The rand lost 10c from R10.75 per dollar to R10.85, while benchmark government bonds were mostly unchanged.
In all, the budget did not contain any nasty surprises which could affect any particular sector in the market significantly.
Increases in the fuel levy and excise duty on alcohol and cigarettes were in line with expectations, as well as the level of moderate tax relief.
- FIn24
