South African blue-chips slid 1,5% on Tuesday on worries about growth in China and a newspaper report the government could slap a windfall tax on miners.
The Johannesburg Top 40 index of blue-chip stocks fell 1,51% to 23 917,93 points by 9.18am GMT, tripping off Monday’s high. The all-share index tumbled 1,29% to 26 584,53 points.
”The Chinese market fell sharply and there are worries about growth in the United States. This windfall tax report is also dragging at the edges, as people look for an excuse to pull back after the recent record run,” said one Johannesburg trader.
Business Day newspaper reported on Tuesday the government could slap a windfall tax on excessive profits at mining companies.
Heavily-weighted diversifeid miners Anglo American and BHP Billiton both tumbled. Anglo fell 2,37% to R356,80 and Billiton dropped 2,41% to R149,31. – Reuters