The JSE swung up just before the close of trade on Tuesday while global peers were mixed as traders remain cautious as to whether central banks will raise interest rates to rein in inflation without derailing economic growth. German inflation was the latest to surprise markets after it came in much higher than expected at 7.9% for May.
The local bourse added 0.19% with the All Share Index at 72,094.87 points while to top 40 gained 0.15% to close at 65,431.16 points.
In company news, Steers, Wimpy and Mugg & Bean owner Famous Brands (4.68%) said sales jumped back to close to what it was before the Covid-19 pandemic.
In a trading update, the group said total revenue increased by 38% to R6.475 billion for the year to end-February while its headline earnings per share increased by 568% for the year, it’s still 24% lower than in 2020.
In the currency markets, the Rand traded slightly on the back foot for most of the day with the US Dollar clawing back some of the losses it suffered yesterday.
“The Rand opened up around the R15.50 level, and we saw the local unit trade up towards R15.68. There has been some recovery since the US markets have opened up and we are currently hovering around R15.60,” comments forex trading house TreasuryONE.
“We are following a similar pattern to other EMs at the moment, apart from the Lira, which is still disconnected from its counterparts.”
In commodities, brent crude is still trading at elevated levels with supply and demand disruptions weighing on trade.
Crude oil is currently quoted at $123.80 while WTI is at $118.30. Gold is down 0.6% and trading at $1,845, platinum is trading at $958.80 while palladium is 1% softer for the day and quoted at $2,005. The price of copper is down 0.5% for the day and is trading around $9,480.
