THE JSE closed in the red on Friday following a weaker opening on Wall Street and a fall in other world markets in afternoon trade on the back of displeasing US unemployment data showing the recession in the US has deepened. Resource and mining stocks remained under pressure and weighed heavily on the local bourse.
By 5pm the all share index had fallen 2,63%, led by a 5,28% decline in resources, a 5,63% drop in platinum stocks and a 1,58% weakening in gold miners.
Banks were up 2,64%, financials added 0,87% but industrials were down 1,64%.
“The unemployment data from the US were shocking and world markets are pressured," a trader said. “Once again it’s the resources that are dragging the bourse down. Financial stocks are perking and that is in anticipation of an early interest rate cut. It will be a really interesting week next week."
On the JSE, Anglo American (AGL) fell 6,13% to R187,75 and BHP Billiton (BIL) lost 4,25% to R147,45. Petrochemicals group Sasol (SOL) shed 9,35% to R242,50. Gold miner Gold Fields (GFI) weakened 4,54% to R74,22 and Harmony (HAR) gave up 2,87% to R86,45. Anglo Platinum (AMS) dropped 5,37% to R370, Impala Platinum (IMP) gave up 5,78% to R110 and Lonmin (LON) weakened 16,83% to R85,25.
African Rainbow (ARI) was off 12,68% to R84 and Exxaro (EXX) lost 1,45% to R68.
Elsewhere on the JSE, brewer SABMiller (SAB) was down 1,24% to R159 and Bidvest (BVT) lost 3,25% to R101,54, but Barloworld (BAW) added 1,25% to R40,50 and Imperial (IPL) was up 4,37% to R59.
Among bankers, Standard Bank (SBK) added 1,76% to R81, Nedbank (NED) collected 3,89% to R92,50, Absa (ASA) firmed 2,71% to R106 and FirstRand (FSR) rose 3,81% to R15,24. Financial services group Old Mutual (OML) was down 4,52% to R6,97, but Sanlam (SLM) was up 3,61% to R17,20.
Retailer Massmart (MSM) was down 2,90% to R80 and JD Group (JDG) gave up 1,95% to R27,65, but Steinhoff (SHF) climbed 6,60% to R10,82. Construction group Aveng (AEG) was up 4,96% to R27,50.
Murray & Roberts (MUR) was down 5% to R38,95, but Pretoria Portland Cement (PPC) added 3,10% to R29,90. Telecoms operator MTN Group (MTN) shed 5,10% to R90, but Telkom (TKG) added 50c to R100. South African near-dated futures ended sharply lower on Friday, stung by what traders called “shocking" jobs data in the US amid global economic woes.
The near-dated Alsi contract ended 3,96%, or 718 points, lower at 17400.
A total of 40810 Alsi contracts changed hands compared with 45530 on Thursday, a Safex official said.
South African white maize ended sharply lower on Friday, moving in line with softer prices on the Chicago Board of Trade amid global market worries.
A local trader said that with the oil price falling, US prices fell in panic selling.
“We followed US prices lower. Markets broke the psychological level of $5 a bushel (for wheat) and we saw panic buying on the back of that," he said. “No one is looking at local fundamentals, we are just taking direction from the US." I-Net Bridge
