{"id":110181,"date":"2016-01-27T08:38:51","date_gmt":"2016-01-27T06:38:51","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=110181"},"modified":"2016-01-27T09:03:44","modified_gmt":"2016-01-27T07:03:44","slug":"5-things-you-need-to-know-before-the-jse-opens-today","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/110181\/5-things-you-need-to-know-before-the-jse-opens-today\/","title":{"rendered":"5 things you need to know before the JSE opens today"},"content":{"rendered":"<p>Here\u2019s what\u2019s happening in the markets:<\/p>\n<ul>\n<li>While the South African Reserve Bank is expected to meet on Thursday (28 January) to discuss a rate hike, business cycle indicators from the central bank showed that <a href=\"http:\/\/www.bdlive.co.za\/economy\/2016\/01\/27\/reserve-bank-indicator-points-to-recession\" target=\"_blank\"><strong>South Africa would be lucky if it avoided recession this year.<\/strong> <\/a>Indicators reveal a struggling economy that won&#8217;t push past 1% growth. Low commodity prices, low business confidence and slow demand for emerging market economies paint a dismal picture for South Africa.<\/li>\n<\/ul>\n<ul>\n<li>South Africa&#8217;s credit rating, for the time being, is still above junk status &#8211; however, bond markets are not waiting for the downgrade, and <strong><a href=\"http:\/\/www.bdlive.co.za\/markets\/2016\/01\/27\/market-signals-sas-downgrade-clock-is-ticking\" target=\"_blank\">the cost of insuring SA\u00a0government bonds is now just as expensive as countries who have fallen into junk status.<\/a><\/strong> This indicates that bond markets see the downgrade as inevitable.<\/li>\n<\/ul>\n<ul>\n<li><strong><a href=\"http:\/\/www.bdlive.co.za\/economy\/2016\/01\/27\/pace-of-bond-and-equity-outflows-from-sa-quickens\" target=\"_blank\">South Africa is seeing an acceleration in capital flowing out of the country, as investors bail on emerging markets.<\/a><\/strong> JSE indicators show that almost R20 billion in capital has flowed out of the country, year to date. While this is a trend seen in all emerging markets, South Africa has some unique local factors at play: policy, drought conditions, and according to some economists, a <strong><a href=\"http:\/\/businesstech.co.za\/news\/business\/109615\/zuma-must-fall-or-the-economy-will-economist\/\" target=\"_blank\">problematic president<\/a><\/strong>.<\/li>\n<\/ul>\n<ul>\n<li>The South African rand managed to reverse its losses against the dollar after being battered by global markets on Tuesday. <strong><a href=\"http:\/\/af.reuters.com\/article\/southAfricaNews\/idAFL8N15B0BX?sp=true\" target=\"_blank\">In early morning trade on Wednesday, the rand was at R16.38 to the dollar.<\/a> <\/strong>Analysts warn that the currency will remain under pressure &#8211; especially leading up to Thursday&#8217;s policy meeting.<\/li>\n<\/ul>\n<ul>\n<li>In global markets, <strong><a href=\"http:\/\/www.sharenet.co.za\/news\/Oil_bounce_helps_Asia_FX_gain_Fed_stance_eyed\/27c6213b064412596d8e08d3f822f9d5\" target=\"_blank\">much is still hanging on fluctuating oil prices and sentiment ahead of the US Federal Reserve Policy due out today<\/a>.<\/strong> Crude oil is once again heading toward $30 a barrel after an early rally in price followed by profit-taking. This has caused Asian markets to struggle as early gains were lost. China stocks were seen weaker on Tuesday, hitting a 13-month low.<\/li>\n<\/ul>\n<p><strong>In other news<\/strong> &#8211; the <strong><a href=\"http:\/\/www.compcom.co.za\/wp-content\/uploads\/2016\/01\/CLARIFICATION-ON-THE-COMPETITION-COMMISSION-INVESTIGATION-AGAINST-FOREIGN-CURRENCY-TRADERS-FOR-PRICE-FIXING.pdf\" target=\"_blank\">Competition Commission has dismissed media reports<\/a><\/strong>\u00a0(PDF) that it is <strong><a href=\"http:\/\/www.iol.co.za\/business\/news\/probe-into-collapse-of-rand-begins-1975778\" target=\"_blank\">investigating banks for causing the recent rand crash<\/a><\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Here is what&#8217;s happening in and affecting the South African market today<\/p>\n","protected":false},"author":10,"featured_media":6423,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[26,175],"class_list":["post-110181","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-headline","tag-jse"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/110181","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=110181"}],"version-history":[{"count":3,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/110181\/revisions"}],"predecessor-version":[{"id":110201,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/110181\/revisions\/110201"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/6423"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=110181"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=110181"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=110181"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}