SA stocks slip to an eight-month low as rand weakens

SOUTH African stocks ended the week at an eight-month low, after three days of losses driven by uncertainty about the outcome of the US presidential election.

The rand also weakened, succumbing to a bout of renewed dollar strength after solid jobs data in the US bolstered the case for an interest rate hike by the Federal Reserve next month. The All-Share index fell 1.1 percent to 49 686 points, a level last seen on March 1, while the benchmark Top- 40 index also closed 1.1 percent weaker at 43 229 points. Investors have been unnerved by signs the US presidential race between Democrat Hillary Clinton and Republican Donald Trump is tightening just days before Tuesday’s vote.

“Guys are a bit nervous by just how much Trump is going to shake up the regulations if he wins. This is why every time he seems to be in the lead the markets tend to wobble,” said BP Bernstein trader Vasili Tirasis.

Among the biggest losers, Anglo American Platinum fell 4.27 percent to R324.50, while Bidvest Group was down 3.62 percent to R162.90. Richemont bucked the downward trend, topping the gainers with an 8.05 percent rise to R94.25 after the luxury goods group announced a management revamp.

Trading volumes were below par, with around 229 million shares changing hands, compared with last year’s daily average of 296 million. – Reuters