WORLD STOCK MARKETS DIP AFTER U.S. ELECTION DEBATE

30/09/2020 U.S. equity-index futures and Asian stock markets turned lower after an bitter-sharp American Presidential debate between President Donald Trump and Democratic candidate Joe Biden. Equities in Hong Kong and China advanced as data showed Asia’s largest economy continued to recover from its slowdown. China markets are shut from Thursday for a week of holidays. Shares in Japan and Australia declined. On Tuesday the JSE tracked global markets, the All-share gave up 0.39% to 54,506.88 points and the Top-40 0.51% at the close of trading.The gold mining index gained 2.72%, platinum miners 1.50%, banks 0.80% and financials 0.67%.

ECONOMIC DATA :
• 8am: Aug. Money Supply M3 YoY, est. 10.6%, prior 10.46%
• 8am: Aug. Private Sector Credit YoY, est. 4.9%, prior 5.12%
• 10am: Aug. CPI YoY, est. 3.15%, prior 3.2%
• 10am: Aug. CPI MoM, est. 0.2%, prior 1.3%
• 10am: Aug. CPI Core YoY, est. 3.2%, prior 3.2%
• 10am: Aug. CPI Core MoM, est. 0.15%, prior 0.7%
• 2pm: Aug. Trade Balance Rand, est. 29.7b, prior 37.4b
• 2pm: Aug. Monthly Budget Balance, est. -85.3b, prior -134.5b
NEWS
• South African Airways Enters Critical Week in Funding Search
• South Africa Pins Infrastructure Hope on Green-Bond Appetite
• Employment in South Africa Drops to Lowest Level in Nine Years
• South Africa Mulls Rule Change to Deepen Trade in Debt Markets
EQUITY PREVIEW:
• (MND SJ): Mondi Set to Benefit From Higher Kraftliner Prices: Jefferies
• (SOL SJ): Sasol Advises Shareholders to Continue Exercising Caution
EARNINGS:
• *CAPITEC BANK 1H ADJ EPS 5.62 RAND VS. 25.45 RAND Y/Y, *CAPITEC BANK SAYS NO INTERIM DIVIDEND DECLARED
• PPC (PPC SJ), FY
DIVIDEND CALENDAR

EU/UK
European markets closed with modest losses as investors weighed the final round of Brexit trade talks, government responses to the rising number of coronavirus cases and the US presidential debate. The pan-European Stoxx Europe 600 ended 0.53% lower, with Germany’s DAX dipping 0.35%, France’s CAC 40 off 0.23%, while the FTSE100 ended the session down 0.51%. Crude oil prices retreated on renewed concerns over demand, pressuring Total and BP – among others.

U.S.
Wall Street stocks came under selling pressure early on, despite the release of a surprisingly strong reading on US consumer sentiment, as lawmakers continued fiscal stimulus negotiations and market players waited too for the first presidential debate to be televised later Tuesday evening. Both the Dow and S&P 500 closed 0.48% weaker, while the Nasdaq Composite was off 0.29% to 11,085.25. Stock futures drifting lower on Wednesday as with the Dow futures off 0.78%, the S&P 500 on the backfoot 0.67% and the Nasdaq futures below the waterline 0.73%. A key labour market report is also due out Wednesday morning, along with a couple highly anticipated direct listings for tech companies Asana and Palantir.

ASIA
Asian markets mixed this morning, though economic data boosts Chinese stocks. China’s official manufacturing PMI rose to 51.5 from 51.0, its highest level in two years. The Hang Seng in Hong Kong jumped 0.94%, but fell back from a 2.1% gain earlier in the morning. The Shanghai Composite index flat 0.05%. Japan’s Nikkei 225 index lost 1.29% , while Australia’s ASX 200 skidded 1.89%.

Wishing You All a Good Day Ahead 😉