How the US election turmoil is STILL affecting African stocks

The weeks which have led up to the United States election on November 3 had substantial effect on all the financial markets, not just the major indexes such as the Dow Jones, Nasdaq, and the S&P 500.
Buying shares for beginners …Buying shares for beginners …
Buying shares for beginners …

With the race between US President Donald Trump, who defended his presidency in the hopes of running for a second term, and Former Vice President Joe Biden who fought to become the 46th president of the United States, the stock markets experienced the brunt of the battle.

Even after Saturday morning, when Biden was announced as the President-elect, the stock market did not show any slow and instead saw substantial increases in the major US indexes at the opening says CEO Louis Schoeman of Investment Firm – Forexsuggest.com

There are still numerous economic factors related to the US election which will continue to influence the stock markets such as the lawsuits which President Donald Trump has filed against Pennsylvania, Georgia, Nevada, and Michigan for alleged voting fraud.

How have the drawn-out elections affected African stocks?

There are numerous African investors who have shares in a variety of stock markets around the world, and where these indexes have shown the impact of the elections, it is imperative to take a look at how African stocks in particular have performed in stock markets in the last month leading up to the election, and days after the election was concluded.

The following analyses stocks from some of the largest companies in Africa by market capitalization to see how they fared in the past few weeks specifically.

Naspers Limited (NPN.JO)

In the past six months, NPN.JO stocks have shown a substantial amount of rises and falls since May and when viewing this stock over the last month alone, it is clear that this stock has seen an increase in price from November 3 from a previous price of $319,725.00 on November 2 to $346,650.00 on November 09.

Standard Bank Group Limited (SBK.JO)

SBK.JO stocks have shown a steady pattern in its pricing in the last six months with a substantial rise in price occurring in the last ten days of October from $11,500.00 to a peak of $11,958.00 on October 27.

On November 3, this stock saw a substantial drop from $11,498.00 to $10,666 on November 4. Despite this, SBK.JO saw a steady increase back to $11,484.00 to where it is currently sitting on $11,492.00.

Sanlam Limited (SLM.JO)

When viewing the performance on SLM.JO stocks over the past six months, this stock has been performing below par. The highest price that this stock reached was July 29 with a price of $6,505.00 after which it saw substantial dips to a price of $4,727.00 on October 30.

The performance for November thus far has shown substantial improvements and this stock saw a dip to $4,807.00 on November 4 when the markets opened. After this, SLM.JO showed gradual improvements to a current price of $5,285.00.

Final Thoughts

When viewing these major companies and their corresponding stocks, it is clear to see that the US elections have had some effects on African Stocks and the stock markets. Whether the continued economic situation in the US will further affect stocks, is yet to be seen in coming weeks.

As with any financial transaction, we advise you seek independent financial advice before any investment

Related topics: