Apr 26, 2022 | Article

Stock markets and oil prices slumped yesterday on growing concern that lockdowns in China aimed at fighting a worsening Covid outbreak could further harm a world economy battling decades-high inflation. The JSE’s All-Share Index dropped 3.5% yesterday, with Anglo (-7.5%), Sibanye (-6.5%) and Sasol (-6%) among the biggest losers. The losses extended last week’s sell-off triggered by Federal Reserve boss Jerome Powell indicating that the US central bank would hike interest rates by half a percentage point next month and possibly several times more this year. That has lent strong support to the Dollar, which is benefitting also from its traditional haven status. The Rand slumped more than 2% yesterday, and was trading at R15.70/$ – its worst level since January this year. Dollar-denominated oil prices tumbled more than 5% yesterday. (AFP/Fin24)