Tiger Brands slumps, but retailers in positive territory

THE JSE recovered from earlier losses to close higher yesterday‚ with European equity markets volatile.

The day was also a fairly busy one in terms of domestic corporate news.

Retailers ended in positive territory‚ despite a slump by Tiger Brands‚ after news that listeriosis had been detected at a subsidiary of South Africa’s biggest consumer foods company.

Tiger Brands fell as much as 13% before paring losses to close 7.44% lower at R393.38.

A positive trading statement from Capitec saw its stock add 3% to R865.46‚ with the banking index leading gains on the local bourse

Global political news provided the markets with some direction‚ with investors still watching for any implementation this week of US tariffs on steel and aluminium imports.

European stocks were volatile‚ on a German coalition deal‚ while in Italy the prospect of a hung parliament has raised fears of instability in the eurozone’s third-largest economy.

Risk assets should continue to find support from global growth prospects‚ but elevated valuations‚ including for many US equities‚ were leaving them vulnerable to negative news‚ PPS Investments analyst Reza Hendrickse said.

The JSE all-share added 0.29% to 57 912.4 points and the Top 40 0.39%.

General retailers gained 1.51%‚ banks 0.93% and industrials 0.69%. Resources fell 0.68% and the property index 0.52%.

Miner Glencore fell 2.6% to R59.14 and Anglo American 1.5% to R275.69.

Assore slumped 4.26% to R331.37‚ but Kumba Iron Ore rose 1.01% to R329.07.

Mr Price gained 2.44% to R283.89 and Truworths 2.08% to R104.50.

Naspers firmed 1.93% to R3 314.32. – BusinessLIVE