Foreign buyers flock to SA stocks as JSE hits new highs

Key topicsForeign inflows into SA stocks rise for 8 straight sessionsJSE hits record highs as gold miners drive 2025 gainsSA stocks offer value vs. global peers with lower P/E ratios.Sign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox at 5:30am weekdays. Register here.Support South Africa’s bastion of independent journalism, offering balanced insights on investments, business, and the political economy, by joining BizNews Premium. Register here.If you prefer WhatsApp for updates, sign up to the BizNews channel here.. By Robert Brand.The longest streak of inflows into South Africa’s equity market in more than two years signals a pickup in foreign demand as investors look for alternatives to US stocks.Non-residents have been net buyers of shares on the Johannesburg Stock Exchange for eight successive days through Wednesday, the longest streak since August 2022, according to JSE Ltd. data.The purchases have been relatively small, at an average of 376 million rand a day compared with daily of outflows of more than 1 billion rand for the whole of the year. But it’s a sign of changing sentiment following nine straight years of outflows, as lackluster economic growth, a weakening rand and political risks dimmed the market’s allure. Year-to-date outflows from the $1.1 trillion market through Wednesday amounted to $4.9 billion..South Africa’s benchmark FTSE/Africa All Share Index has rebounded to hit record highs after plunging more than 9% in the wake of President Donald Trump’s sweeping tariff announcements on April 2. The gauge has gained of 8.8% this year, with miners the biggest contributors as the price of gold surged..Read more:.JSE shares now tradeable on Standard Bank’s forex and investment platform Shyft .And with the rand also erasing its post-tariff losses to strengthen against the greenback, dollar investors have pocketed a return of 13%, compared with declines for the S&P 500 and the MSCI World Index of developed-nation stocks.Still, the South African stocks remain cheap compared with developed-nation peers. The benchmark is trading at an estimated forward price-earnings ratio of 14.7, compared with 19.4 for the MSCI World Index.The index edged 0.2% lower by 3:28 p.m. in Johannesburg Thursday, hovering near its May 2 record high..© 2025 Bloomberg L.P.

Foreign buyers flock to SA stocks as JSE hits new highs

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