David Shapiro: Cheer up! Stock prices are surprisingly good - and not just Sasol

Stock market indices do not necessarily reflect the present state of the finances of businesses in the economies underlying stock exchange baskets. Company share prices can be forward-looking, or they can be unfairly valued. In this podcast, BizNews editor-in-chief Alec Hogg and stock-market analyst David Shapiro bring home the message that, although Covid-19 containment has depressed economies and pushed many businesses to the brink of collapse or even extinction, performance on the Johannesburg stock exchange and on US markets has been surprisingly good. As Shapiro points out, the US market is down about 6% and the South African market is down 12% in rands - which is not bad considering Covid-19 shutdowns have turned off economic activity and hammered business profits this year. - Jackie Cameron