The JSE was weaker in noon trade on Tuesday as weakness in Asian markets and lower commodity prices weighed on the market.
At 11.55am, the all-share index was off 0,59%, with platinum counters down 2,76%. The gold index was only 0,03% weaker, however, but industrials were 0,75% in the red and resources 0,43% lower. Financials and banks were down 0,67% and banks 0,67% respectively.
The rand was bid at R6,95 per dollar, from R6,92 when the JSE closed on Monday, while gold was quoted at $667,10 a troy ounce, from $668,95 at the JSE’s last close.
“We’re seeing quite a bit of weakness across the board this morning. Asian markets are weaker and we also saw a pullback on commodities overnight. The rand — although off its best levels — is also still quite firm. But I think it’s a healthy correction that we’re seeing. We’ve had some very high levels lately and people are selling into the strength that we’ve seen over the past few days,” a local equities trader said.
Among platinum counters, AngloPlat was down 3,76% or R45,50 at R1 164,50, while Impala Platinum was off 2,46% or R5,50 at R218,50 and Northam Platinum was at R55,48.
After leading the market down on Monday, Anglo and Billiton were, however, steady in early trade, up three cents at R391,75 and 40 cents at R164,05 respectively. Sasol was up 40 cents at R259,50, but Sappi gave back R1 to R128,25 and Mittal Steel lost R4,50 to R122.
Among gold counters, AngloGold and Harmony were off by 1,14% and 0,90% at R292,65 and R106,04 respectively, but Gold Fields managed to eke out a gain of 128 cents (1,10%) to R118,10 in the morning session.
Retailers also took a bit of a smack during the morning session, with Ellerine falling 2,07% or R1,80 to R85 and Lewis coming off 2,07% or 145 cents to R68,55.
Banking and financial stocks were also not looking too hot with FirstRand down 1,45% or 35 cents at R23,80 and RMB down 0,85% or 30 cents at R35,50. Standard Bank was off by 0,71% at R107,25. African Bank shed 2,12% to R32,30, Liberty International 1,13% to R173,01 and Liberty 1,24% to R90,36.
Sanlam was 1,78% weaker at R22,10.
Shares in South African direct-marketing retailer Verimark fell sharply in early trade on the JSE on Tuesday after the company reported disappointing first-half results. At noon, Verimark’s shares were quoted at 160 cents — down two cents, or 1,23% — having come back a bit after falling more than 7%.
Shares in Amalgamated Appliance Holdings also fell after the company issued a trading update saying it expects earnings and headline earnings per share to be between 35% and 45% below last year’s level. At the lunchtime break, its shares were being quoted at 530 cents — down 40 cents or 7,02% from its previous close. — I-Net Bridge