The JSE Securities Exchange South Africa (JSE) was flat at the opening on Friday in very quiet trade. While financials were under a bit of pressure, thin volumes made it difficult to pick up definite trends.
At 0919, the all share index was down 0.24%, dragged down by the financial index which had fallen 0.59%. The rest of the market was flat. The rand was trading at 8,0690 to the dollar from 8,0953 when the JSE closed on Thursday, while gold was quoted at $353,40 an ounce from $352.50/oz at the JSE’s last close.
Volumes were pitiful, with only R10-million rand worth of shares having changed
hands. By 0929, another R12-million worth of shares had changed hands and with the exception of the gold mining index, which was flat, the rest of the market was in
the red.
A dealer said that while the opening had been quiet in terms of volumes, the JSE wasn’t looking good.
She said with the rand even stronger than during trade on Thursday, resources were under pressure. Dual-listed stocks were likely to lose ground when London opened. With the soft close on Wall Street on Thursday, there was no positive news to prop up the market.
At 0929 London-listed diversified resources group Anglo American (AGL) was 80
cents weaker at R114,20. BHP Billiton (BIL) shed 1,50% or 60 cents to R39,40 and synthetic fuels group Sasol (SOL) was 1,12% or one rand softer at R88.
On the financial index, London-listed Old Mutual (OML) was 1,61% or 18 cents
weaker at R11,02.
The big four banks were all in the red with Standard Bank (SBK) shedding 1,88%
or 55 cents to R28,75, FirstRand (FSR) falling 1,25% or nine cents to R7,10
, Nedcor (NED) losing 1,82% or R1,89 to R102,10 and Absa (ASA) slipping
1,47% or 50 cents to R33,50.
On the industrial index, pulp and paper producer Sappi (SAP) was 1,79% or two
rand weaker at R110,00 and Swiss-listed luxury goods group Richemont
(RCH) was 10 cents in the red at R13,10.
Dow Jones Newswires reports that investors continue to worry that the looming
war is holding back the economy, and yesterday a slew of fresh economic data reinforced those fears, sending stocks down for a second consecutive day.
Amid bad news about inflation, employment, the trade deficit and manufacturing
activity, the Dow Jones Industrial Average fell 85,64 points, or 1,07%, to 7914,96.
Some investors continue to hope for an economic rebound, though, once a
possible war is resolved. The Nasdaq Composite Index, whose many technology stocks would benefit from an economic rebound, fell only 0,23%, or 3,09 points, to
1331,23.
The Standard & Poor’s 500-stock index fell 0,95%, or 8,03 points, to 837,10,
down 5% on the year. – I-Net-Bridge