Stocks at 6-week low as rand loses ground
SOUTH African stocks stumbled for a fourth session to touch a six-week low yesterday, tracking global markets down as investors cut risk on China’s moves to cool its economy and US plans to limit risk-taking.
The rand also lost ground as commodities prices dipped, while gover nment bonds weakened ahead of next week’s interest rate decision.
The JSE Top-40 index of blue chips declined 1.59 percent to 24 428.41 points, its lowest close since December 10 last year, while the All-share index lost 1.55 percent to 27 063.24 points.
Platinum stocks were among the biggest tumblers. The Johannesburg platinum index lost 2.12 percent, led by Anglo Platinum dropping 3.73 percent to R752.36 and Lonmin, the world’s third biggest platinum producer, shedding 3.41 percent to R225.
The rand was trading at 7.6345 to the dollar at 1540 GMT.
On the bourse, Gold Fields was down 3.50 percent to R92.25 and Harmony Gold shed 0.54 percent to R74.25.
Interest rate sensitive stocks also dropped ahead of the rates decision. – Reuters