South African stocks remained in the red in noon trade on Tuesday, moving in line with weaker global markets on the back of a sharp fall on Wall Street overnight as well as mounting concern about a global economic slowdown.
By noon the all-share index had lost 2,57%, weighed by a 6,15% decline in platinum counters, a 4% fall in resources and a 0,66% drop in gold miners. Banks shed 4,71%, financials were down 2,92% and industrials were off 0,88%.
The rand was last bid at 10,36 to the dollar from 10,23 when the JSE closed on Monday, while gold was last quoted at $767,35 a troy ounce from $778,67/oz at the JSE’s last close.
The platinum price was at $800/oz from its previous close of $790,50/oz and Brent crude was at $46,82 per barrel from $47,97 before.
“We are down on the back of weaker global markets after the Dow fell so sharply overnight,” a local trader said.
“There is worldwide concern about the slowdown in the economy,” he said.
He said that displeasing economic data released both locally and internationally was really weighing on markets.
“The rand is trying to cushion losses locally. But its weakness is also a sign of continued risk aversion and people pulling out of emerging markets,” he added.
Earlier, Japan’s Nikkei 225 was down 6,4% and Hong Kong’s Hang Seng lost 4,9%.
Dow Jones Newswires reports that European stocks remained lower but off earlier lows on renewed speculation the Fed would cut the interest rate to zero at its next meeting, says a trader.
In London, the FTSE was last down 0,44%.
On the JSE, Anglo American was down R8,41, or 4,16%, to R193,79 and BHP Billiton fell R6, or 3,63%, to R159,10.
Petrochemicals group Sasol weakened R15,88, or 5,83%, to R256,62.
Paper giant Sappi was down R1,66, or 4,89%, to R32,29 and Mondi lost 75 cents, or 2,50%, to R29,25.
Among gold miners AngloGold Ashanti was up R3,76, or 1,78%, to R214,75 but Gold Fields lost R2, or 2,61%, to R74,50 and Harmony gave up R2,33, or 2,89%, to R78,30.
Platinum miner Anglo Platinum lost R10,01, or 2,48%, to R392,99 and Impala Platinum was off R10,50, or 9,09%, to R105.
In diversified miners, African Rainbow gave up R4,69, or 5,10%, to R87,31 and Exxaro lost R2,25, or 3,35%, to R65.
Among industrials, brewer SABMiller gave up R3,39, or 2,15%, to R154,25 and Barloworld eased R1,44, or 3,36%, to R41,46.
However, Tiger Brands added R1,50, or 1,11%, to R136,50.
Banker Standard Bank fell R2,69, or 3,22%, to R80,96, Nedbank was down R2,74, or 2,92%, to R90,94, Absa lost R3,17, or 3,02%, to R101,73 and FirstRand fell R1,40, or 8,48%, to R15,10.
Financial services group Old Mutual shed 15 cents, or 1,89%, to R7,80 and Investec gave up R1,24, or 2,97%, to R40,58.
Among retailers, Truworths gave up 60 cents, or 1,86%, to R31,60, Lewis lost R1,02, or 2,46%, to R40,48 and Foschini was down 89 cents, or 1,98%, to R44,12.
Nictus was unchanged at 95 cents. The furniture, motor and carpet retailer earlier reported a 73% rise to 3,99 cents in headline earnings per share for the interim period to September.
Construction group Aveng was off 47 cents, or 1,69%, to R27,28, Group Five gave up 45 cents, or 1,44%, to R30,80, Murray & Roberts eased R2,45, or 5,41%, to R42,85 and WBHOVCO lost R2, or 2,06%, to R95.
Among telecommunication groups, MTN Group eased 15 cents to R103,85 but Telkom added R1,12, or 1,12%, to R101,20.
Healthcare group Adcock Ingram was down 33 cents to R35,17. The group earlier reported a 4,6% rise in headline earnings per share to 387,6 cents for the year ended September 2008. The group was unbundled from Tiger Brands and listed on the JSE in August. — I-Net Bridge