The JSE traded firmer on Monday following the reopening of China’s borders after nearly three years while there is renewed optimism that the US Federal Reserve’s interest rate hikes are starting to work.
The bourse added 1.93% with the All Share Index closing at 78,343 points.
Data coming out of the US on Friday showed wages grew slower than expected, increasing just 0.3% month on month versus the 0.4% that was forecasted. The numbers give credence to the Fed’s monetary policy tightening strategy to tame high inflation figures.
China will no longer require travellers to quarantine when they enter the country while Chinese borders are completely open for the first time in nearly three years. Airports were abuzz with passengers who are travelling to family ahead of the lunar new year.
At 05.00 pm, France’s CAC 40 (0.57%), Germany’s DAX (1.11%), and the UK’s FTSE 100 (0.16%) were all trading firmer.
At the same time in the US, the Nasdaq (1.68%) and the broader S&P 500 (0.97%) were also in the green.
In Asia, the Shanghai Composite (0.58%), the Hong Kong Hang Seng (1.89%) and the Japanese Nikkei closed 0.59% higher.
