Oil hurts stocks

SOUTH African stocks declined for a fourth day in the longest losing stretch since October 2, as weaker oil and metal prices weighed on resources companies and manufacturing slowed in China. The all share index dropped 1.8 percent to 49 272.05 by the close in Johannesburg, the biggest decline since October 15 to the lowest level since October 30. The metals and minerals gauge declined 3.8 percent. Brent crude headed for its ninth straight weekly decline.

STOCKS logged their biggest one-day decline in a month yesterday, sliding 2 percent as weak overseas economic data and a firmer rand hit everything from commodities exporters to retailers.

The Top40 index dropped 1.9 percent to 43 676.11. The broader all share fell 1.75 percent to 49 272.05.

Even companies with relatively solid results did not escape the sell- off. Investment bank and asset manager

Investec dropped 3.1 percent to R100.62, despite posting a 14 percent rise in first-half earnings.

World stocks extended losses as evidence suggested the Chinese and European economies were slowing. “The downward turn in Europe is putting pressure on our market,” said Kyle Dutton of brokerage Mercato Financial Services.

“The rand strength-

ened on the back of the monetary policy committee meeting and that just pushed things further down.”

Anglo American

Platinum shed 5.67 percent to R366. Shoprite lost 4.75 percent to R162.49 and Wool

worths declined 3.41 percent to R78.24.

Trade was active, with 227 million shares changing hands, according to preliminary bourse data, well above last year’s daily average of 176 million shares.