South African stocks extended their losses by noon on Friday as the turmoil continued on global equity markets. Resources and mining stocks were hard hit amid tumbling precious metals prices.
At 12.01pm, the JSE’s all-share index had plummeted by 6,59%, weighed down largely by gold miners, which were down 12,70%; platinum stocks, which fell by 10,44%; and resources, which lost 10,05%.
Industrials gave up 4,86%, financials lost 3,81% and banks gave up 2,33%.
The rand was bid at R11,28 to the dollar from R11,14 when the JSE closed on Thursday, while gold was last quoted at $689,12 a troy ounce from $726,15/oz at the JSE’s last close.
Platinum was at $778,50/oz, down 2,99% from Thursday’s close of $802,50/oz, Brent crude was at $62,30 from its previous close of $65,92.
In Asia on Friday morning, the Nikkei closed 9,60% and the Hang Seng closed down 8,3%.
In London, the FTSE was last down 7,3%, the Dax had shed 9,3%, and the CAC was off 8,4%.
A trader said the local market was following the trend of global markets, which had all recorded substantial losses.
“There is complete risk aversion,” the trader said. There is a broad sell-out and everyone across the world is selling off their stocks at “whatever cost”, he added.
The weaker rand was still not having an impact because metals and resources prices continued to come under pressure.
The rand remained extremely volatile, trading in a range of more than 100 cents against the dollar.
Dow Jones Newswires reported United States stock futures were pointing to another monumental beating following a sharp fall in Asia and Europe’s bad performance, said Mark Priest, of British spreadbettor TradIndex.
“A mix of sharp falls in Asia and Europe, worse-than-expected GDP news in Britain and a strengthening US dollar alongside with fears of an overwhelming global recession will drag markets down,” Priest said.
On the JSE, Anglo American fell R27,75, or 12,13%, to R201 and BHP Billiton gave up R15,57, or 10,23%, to R136,68.
Paper and packaging group Mondi was off R3,94, or 9,86%, to R36,02 and Sappi lost R2,49, or 4,15%, to R57,51.
ArcelorMittal shed R8,49, or 10,23%, to R74,51 with Highveld Steel losing R6,50, or 9,49%, to R62.
Petrochemical giant Sasol was down R11, or 4,04%, to R261.
Among gold miners AngloGold fell R26,60, or 14,70%, to R154,39, Gold Fields gave up R6,25, or 9,88%, to R57 and Harmony shed R8,75, or 11,86%, to R65.
Platinum miner Lonmin came down R25,83, or 12,01%, to R189,17, Anglo Platinum plummeted R50, or 12%, to R374,01, Impala Platinum gave up R10, or 9,35%, to R97.
Among industrials, brewer SABMiller was down R13,20, or 8,79%, to R137,01, Imperial lost three rand, or 6,12%, to R46 and Bidvest fell R4,52, or 4,71%, to R91,48.
Among bankers, FirstRand was down 45 cents, or 3,84%, to R11,27, Nedbank shed R2,60, or 3,27%, to R76,90 and Standard Bank shed R1,39, or 1,99%, to R68,60.
Investec shed R1,98, or 4,55%, to R41,50 and RMB Holdings was down 25 cents, or 1,35%, to R18,25.
Among retailers, Woolies lost 53 cents, or 5,48%, to R9,15, Foschini was down R1,75, or 5,46%, to R30,30 and Truworths was down R1,37, or 5,22%, to R28,88.
Packaging group Astrapak lost 40 cents, or 6,67%, to R5,60 and Nampak gave up 37 cents, or 2,99%, to R12.
Construction group Group Five lost R1,86, or 4,82%, to R36,75 and Murray & Roberts gave up R2,50, or 4,03%, to R59,50.
Among telecommunications groups, MTN Group fell R4,49, or 5,41%, to R78,50 and Telkom was down R4,70, or 4,86%, to R92. — I-Net Bridge