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0 News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/south-african-equities-hold-steady-amid-cautious-sentiment-and-mixed-sector-performance/
South African equities closed flat on Thursday as the JSE FTSE Top 40 Index settled at 80,067 points, signaling a pause in the market after a strong rally earlier this year.
Analysts suggest that profit-taking may have contributed to the stagnation, with 11 out of 20 sectors ending in negative territory.
The electronic technology, consumer non-durables, and process industries were among the worst performers, recording declines of 4.48%, 2.55%, and 2.17%, respectively. In contrast, sectors such as consumer durables, energy minerals, technology services, and distribution services demonstrated resilience. Notably, Naspers Ltd and Goldfields Ltd emerged as top gainers, registering increases of 1.68% and 1.52%.
The financial sector delivered a mixed performance. While Firstrand Ltd, Capitec Bank, and ABSA Group experienced declines, Standard Bank and Sanlam Ltd showed steadier footing amid ongoing uncertainties related to interest rates and inflation trends.
Adding to the cautious market sentiment, South Africa’s mining production fell by 2.4% year-on-year in December, driven primarily by an 8.4% drop in gold output alongside weaker platinum production. This downturn in mining performance has weighed heavily on overall market dynamics.
On the geopolitical front, tensions persist as discussions emerge over potential U.S. aid cuts of nearly USD 440 million under the Trump administration, raising concerns about further market volatility. However, continued support from the European Union is seen as a stabilizing factor for the local equity market.
Investors now brace for a period of consolidation, with many watching closely to see how these developments will shape the outlook for South Africa’s economic recovery and long-term market performance.
News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/south-african-equities-hold-steady-amid-cautious-sentiment-and-mixed-sector-performance/
