The JSE remained under pressure in midday trade on Thursday, still weighed down by poor performing resource and precious metals sectors.
The local bourse continued to get direction from Asian and European markets, which were weaker on the back of a sharp fall in the Dow overnight.
Earlier Asian markets were weaker with the Nikkei closing down 5,3% and the Hang Seng losing 6,6%.
By 11.55am, the JSE’s all-share index had fallen 2,21%, led by gold miners losing 5,48%, platinum stocks down 3,75% and resources giving up 3,37%. Financials gave up 1,11%, banks were down 0,47% and industrials shed 1,42%.
The rand was last bid at 10,36 to the dollar from 10,37 rand when the JSE closed on Wednesday, while gold was last quoted at $715,25 a troy ounce from $727,30/oz at the JSE’s last close.
The platinum price was at $830,50/oz from its previous close of $810/oz and Brent crude was at $52,18 from $52,37.
“Local markets are still down but have managed to come off their earlier lows,” an equities trader said.
“Resource stocks are still under a lot of pressure. It does however seem like some buying has come in at these low levels,” he said.
The trader said the market would continue to follow world markets. He said the rand was not having any effect on the market at the moment.
“Movements in the rand have been dictated by moves in the dollar. We may see the rand become a function of equity markets — if equities go up, we may see the rand strengthen,” he added.
Dow Jones Newswires reports that London stocks fell back into the red after a brief fling into positive territory.
The FTSE was last down 1,11%. US stocks were expected to open higher as investors dip their toes back into the market, picking up bargains following Thursday’s Paulson-driven sell-off, says Martin Slaney, trader at GFT Global Markets. He called the DJIA to open up 75 points at 8 357 and the S&P 500 up 9,7 at 862.
On the JSE, Anglo American was down R4,55, or 2,21%, to R201,50 and BHP Billiton gave up R6,75, or 4,40%, to R146,50.
Sasol lost R3,09, or 1,20%, to R254,90.
Paper and packaging group Sappi gave up 99 cents, or 1,77%, to R55 and Mondi was down R2,10, or 5,54%, to R35,80.
Highveld Steel was off R4,30, or 6,96%, to R57,50 but ArcelorMittal added R3, or 4,29%, to R73,01 and Kumba Iron Ore collected R1,96, or 1,44%, to R137,96.
Gold miner AngloGold Ashanti fell R11,52, or 6,33%, to R170,48, Goldfiedls was down R4,15, or 6,32%, to R61,50 and Harmony was down R1,60, or 2,41%, to R64,90.
Platinum miner Anglo Platinum shed R18, or 4,36%, to R395, Impala Platinum weakened R4, or 3,54%, to R109 and Lonmin was down R7,25, or 4,47%, to R155,02.
Among other miners African Rainbow fell R5,07, or 5,77%, to R82,83, Exxaro was down R1,29, or 1,95%, to R64,90 and Hulamin gave up 50 cents, or 2,94%, to R16,50.
Among industrials, SABMiller lost R3,54, or 2,44%, to R141,51. The brewer earlier reported 3% growth in lager volumes in the six months to September 2008, with organic volumes slightly ahead of the high prior year base.
Imperial was down R1,45, or 2,90%, to R48,55, Barloworld weakened R2,43, or 4,66%, to R49,73 and Bidvest was off R1,61, or 1,72%, to R91,89.
Nedbank lost R1,10, or 1,27%, to R85,50 and Absa edged down 85 cents to R91,60.
Investec was down R1,90, or 4,53%, to R40. The specialist banking group earlier reported a 1,6% decline in headline earnings per share from 25,8 pence to 25,4 pence for the six months to September.
Among financial services groups African Bank was down 55 cents, or 2,21%, to R24,34.
Among retailers Mr Price added 79 cents, or 3,56%, to R22,99 but Massmart was down R1,53, or 1,93%, to R77,72.
Construction group Group Five lost R2,38, or 7,20%, to R30,67, Murray & Roberts was off R3,55, or 6,85%, to R48,25 and Aveng lost R2, or 5,97%, to R31,50.
Telecommunications group MTN was off R1 to R107,20 and Telkom gave up 51 cents to R108,49.
Illovo Sugar edged down three cents to R23,47. The sugar producer earlier reported a 35% leap in headline earnings per share from 81,3 cents to 109,9 cents on a sugar season basis for the six months to September. Headline earnings of R384,8-million reflected a 36% improvement over the same period in the previous year. –