JSE faces Asian market pressure amid Chinese property jitters

JSE faces Asian market pressure amid Chinese property jitters

2021-10-27 08:21:00 AM

JSE faces Asian market pressure amid Chinese property jitters

US markets were buoyant overnight, but concern about the indebtedness of Chinese property developers is weighing on sentiment

Karl GernetzkyPicture: 123RF/DANIIL PESHKOVThe JSE looks set to open to weaker Asian markets on Wednesday morning, despite new records for major US bourses on Tuesday, with investors still jittery over debt problems in China’s property industry.The debt problems have become a global threat, with Modern Land on Monday becoming the fourth developer in China to default on an overseas debt obligation. Bloomberg reported that Chinese borrowers have defaulted on about $9bn (R133bn) of offshore bonds in 2021, a record, with the real estate industry accounting for one-third of that amount.

International whistleblower awards honour four South Africans WATCH | COVID-19 | Does SA want a stricter lockdown? Judge temporarily halts New York City Covid-19 vaccine mandate for public workers | News24

Evergrande is the country’s second-biggest property developer and is saddled with debts of about $300bn, including $20bn in international bonds, with more payments due later this week.The property sector accounts for about 29% of China’s GDP, while the country is the world’s largest consumer of base metals, taking up about 10% of SA’s total exports.

Overnight, the US Dow Jones index and S&P 500 closed at record highs, and markets there have been lifted by a series of earnings reports that have beaten expectations, including reports from Microsoft and Alphabet on Tuesday.In morning trade the Hang Seng had slipped 1.48% and the Shanghai Composite 0.92%, while Japan’s Nikkei had given back 0.6%. headtopics.com

Tencent, which can influence the JSE via the Naspers stable, had fallen 3.15%.Gold was 0.19% weaker at $1,789.25/oz while platinum had given back 0.42% to $1,025. Brent crude was 0.21% down at $85.94 a barrel.The rand was flat at R14.84/$, having lost almost 1% on Tuesday.

Famous Brands, the owner of Steers and Wimpy, is due to report a return to profits in its six months to end-August later, though it said in a recent trading update it had felt the effects of continued trading restrictions and civil unrest in SA in July. The company

took a R1.3bn writedown charge for the Read more: Business Day »

LIVESTREAM: Police Minister testifies at SAHRC hearings

The Human Rights Commission hearings into the July unrest continues on Friday.

I never thought of meeting a legit bitcoin trader after been scammed many times at my age but the heavens sent Johnteddy77 guided me and help me make a living through bitcoin with my coinbase app, I recommend you to meet him now and also be a beneficiary of good work

JSE lifts as investors bet on strong US corporate earningsHowever, risks from rising Covid-19 cases in China, persistent inflation and global supply-chain disruption might dampen the mood

European stocks get a boost from buoyant earningsBut Chinese property sector tumbles on fears of widening crisis as Modern Land defaults on payment

Most Asian markets rise after Wall St record, earnings in focusAsian markets mostly rose on Tuesday following fresh records on Wall Street. For all those who are new to this working from home Bitcoin trading options Here's a little tip: Get a trusted Bitcoin expert and stick to her Randy_Jones32 Invest and play at similar times each day. Because : In times of chaos, your investment is your anchor to success⚖️

MARKET WRAP: Rand falls as China property situation worsensJSE basks in glow of Sibanye-Stillwater’s $1bn Brazilian deal and strong corporate earnings in the US Talk of delta effects

World stocks hold firm as traders weigh corporate earnings against inflation risksEuropean shares edge up while US stock futures stay steady as investors shrug off the impact of a Chinese property tax

JSE lifts as investors bet on strong US corporate earningsHowever, risks from rising Covid-19 cases in China, persistent inflation and global supply-chain disruption might dampen the mood