Stocks sags as miners, banks retreat after shaky start
SOUTH AFRICAN stocks sagged yesterday as miners and banks retreated after a shaky start on Wall Street hit global equities, but Richemont jumped as strong results at Swatch Group buoyed luxury firms.
The rand lost ground against a firmer dollar, adding to the weaker bias sparked by a sur- prise interest rate cut on Thursday that took some shine off the local currency’s carry-trade lure.
Government bonds rallied, with investors looking at the possibility of more rate cuts.
The JSE Top-40 index dipped 0.88 percent to 22 431.66 points, a day after it shot up almost 2 percent to a near 10-and-a-half- month high, but underperforming the global emerging equity index, which declined 0.61 percent.
The All-share index fell 0.78 percent to 24 815.77 points.
US stocks fell on the back of weak consumer confidence data and a production halt at Boeing, pressuring European equity markets. Platinum was among the biggest losers as investors took profits.
Diversified miners dragged as copper fell.
Anglo Platinum slid 3.42 percent to R677 while Impala Platinum shed 3.3 percent to R204 and BHP Billiton sank 3.16 percent to R207.23. – Reuters