Publications
Partners
Johannesburg - The JSE was trading flat in the opening session on Friday‚ supported by gold and platinum shares.
Market participants are keenly awaiting the US May non-farm payroll data due out at 14:30pm local time‚ as these numbers will most certainly swing global markets.
Better-than-expected figures will likely provide more impetus to calls for a slowdown in the pace of quantitative easing and an increase in the pace of the reversal of inflows into the local market‚ Rand Merchant Bank said in a morning note.
“This is a major worry for SA that has had a heavy reliance on external funding to finance the current account deficit‚” the bank said.
At 9:29‚ the JSE All Share [JSE:J203] index was trading flat (0.04%) at 40 356.88 points‚ with the blue-chip Top 40 - (Tradeable) [JSE:J200] index also flat at (-0.07%).
Gold and platinum miners edged up 0.71% and 0.67% respectively‚ while resources dipped 0.28%.
European markets were also flat‚ with London’s FTSE 100 -0.10% softer in early morning trade.
Eastern markets also edged lower with the Japanese Nikkei closing 0.21% softer on Friday and the Hong Kong Hang Seng Index trading in negative terrain‚ down 1.12%‚ shortly before market close.
While the focus was on payrolls‚ there were other important news‚ RMB said.
“Yesterday saw the European Central Bank proving more hawkish than expected‚ seemingly ruling out negative interest rates. South African Reserve Bank Governor Marcus appeared equally tough on local rates. Japanese markets continue to tank. The dollar‚ surprisingly given all the talk of tapering‚ is weakening sharply. Risks aversion has spiked‚” the bank said.
