Naspers, GDP numbers lift JSE

Fading optimism about the US-China trade-war ceasefire put some pressure on the JSE on Tuesday, but the bourse pushed higher regardless due to a strong showing by Naspers and retailers.

The all share gained 0.3% to 52,234.6 points and the top 40 0.24%. Resources fell 0.71%, while gold miners added 2.27%, property stocks 2.1% and general retailers 1.64%.

Investors were digesting the implications of 90-day truce between the world’s two largest economies, with the agreement prompting a broadbased relief rally on Monday.

Analysts attributed the lack of detail as a reason for the market to be cautious rather than giddy, with China failing to confirm any details.

Domestic news was more positive, with GDP growth in the third quarter beating expectations.

The continued rise in the oil price failed to subdue optimism towards domestic interest-rate sensitive stocks, with all eyes on a meeting of oil cartel Opec this week.

The group, along with Russia, is widely expected to agree to production cuts, although some analysts have said the debate could be contentious.

Domestic factors are expected to continue to give some direction to the market for the rest of the week, with parliament voting earlier to adopt a report recommending expropriation of land without compensation.

Diversified miner Glencore fell 1.44% to R52.11 and Anglo American 1.48% to R287.40.

Naspers gained 1.44% to R2,930, having climbed 4.54% on Monday, bolstered by a jump in Asian stocks as a result of the US-China ceasefire.

Sasol lost 0.61% to R431.36, having posted its biggest gain in almost three years on Monday, when it jumped 6.82%. –