South African stocks remained weak but off the morning’s lowest levels by midday on Friday, still weighed heavily by falling resources and precious metal stocks.
The bourse was pushed into negative territory at its open by weaker Asian markets, which lost momentum on news that the US Senate’s carmaker bailout talks had failed.
The all-share index fell 1,96%, with resources losing 2,38%, platinum stocks shedding 7,26% and gold stocks falling 3,85%.
Financials weakened 1,30%, banks were down 0,72% and industrials shed 1,87%.
The rand was last bid at R10,16 to the dollar from R10,02 when the JSE closed on Thursday, while gold was last quoted at $817,75 a troy ounce from $828,27/oz at the JSE’s last close.
The platinum price was at $820,50/oz from its previous close of $826/oz and Brent crude was at $46,65 per barrel from $47,39 before.
“We have recovered from the day’s lowest levels,” a trader said.
“The US bailout looks like it’s not going to happen and that is weighing on world markets and we are following,” he said.
“Volumes are very low and people are trading with caution,” he noted.
“Dow futures are moving up and that is resulting in the JSE ticking up,” another trader said.
“Buyers are slowly moving in at these low levels. People are still anticipating a rally to continue until the end of the year,” he added.
Earlier, Japan’s Nikkei 225 closed down 5,6% and Hong Kong’s Hang Seng Index was off 7%.
Dow Jones Newswires reports banks traded sharply lower in a downbeat London share market on Friday after lender HBOS revealed that its bad debt charge has soared to $7,5-billion.
The FTSE was last down 3,11%.
Back in Johannesburg, resources giant Anglo American fell R3,41, or 1,50%, to R224,59 and BHP Billiton lost R2,65, or 1,45%, to R179,90.
Petrochemicals group Sasol gave up R2,88 to R298,67.
Paper group Sappi was off R3,03, or 7,49%, to R37,42 and Mondi was down 77 cents, or 2,31%, to R32,50.
Highveld Steel lost R4,99, or 8,60%, to R53,01, ArcelorMittal shed R4,29, or 4,83%, to R84,51 and Kumba Iron Ore lost R4,15, or 2,53%, to R159,65.
Gold miner AngloGold Ashanti weakened R8,85, or 3,25%, to R263,35, Gold Fields was off R5,95, or 6,39%, to R87,10 and Harmony gave up R3,35, or 3,23%, to R100,40.
Anglo Platinum plummeted R54, or 11,04%, to R435, Impala Platinum was down R6,50, or 5,42%, to R113,50 and Lonmin eased 10 cents to R108,10.
Brewer SABMiller gave up R1,05 to R165,35, Remgro gave up R2,30, or 3,17%, to R70,35 and Imperial lost R1,29, or 2,09%, to R60,42.
Bidvest gave up R1,73, or 1,70%, to R100,27 and Barloworld fell 70 cents, or 1,54%, to R44,80.
Among banks, Standard Bank was down 49 cents to R81,50, Nedbank gave up R2,11, or 2,31%, to R89,39 and Absa lost R1,09 to R108,90.
Retailer Lewis was off R2,50, or 5,49%, to R43, Steinhoff lost 50 cents, or 4,35%, to R11 and Truworths lost 64 cents, or 1,86%, to R33,76.
Construction group Group Five shed 92 cents, or 2,64%, to R33,90, Murray & Roberts lost R1,20, or 2,50%, to R46,80 and Aveng weakened 74 cents, or 2,36%, to R30,56.
Telecommunications group MTN Group was down R2,97, or 2,94%, to R98,03 and Telkom fell 98 cents to R109,02. — I-Net Bridge