Sappi sales hit by political crisis in Russia and Ukraine

STOCKS fell yesterday in line with lower global markets as uncertainty mounted about US monetary policy and after lacklustre euro zone data showed a slower-than-expected recovery in Europe.

The benchmark Top40 index fell 0.79 percent to 46 222 while the broader all share index slid 0.72 percent to 51 396.

Pulp and paper maker Sappi fell 5.37 percent to R40.69 after the company said its sales into Russia and Ukraine had been affected by political crisis in that region, but posted a return to profit in its third quarter.

Decliners included mining companies such as Impala Platinum (Implats) and AngloGold Ashanti as gold fell to sixweek lows and platinum lost almost 1 percent.

Overall, sentiment was driven by global flows and woes, market players said.

“It’s all worries about whether the strength of any recovery in Europe seems to be dissipating fast,” said Greg Katzenellenbogen, a director at Sanlam Private Investments.

Implats shed 2.9 percent to R106.33 while AngloGold lost 2.3 percent to R183.05.

Sibanye Gold lost 0.24 percent to R25.44 after rising as much as 5 percent during trade after it announced a 50 cents a share dividend despite earnings being lower.

Advancers included Capitec, up a record 3.2 percent to R243.56.

Grand Parade Investments rose 1.6 percent, to R6.30, climbing to its highest since June 6, as it subscribes for 10 percent of Spur in R294.7 million deal.

Spur shares were up 0.71 percent to R31.32.

Trade was active with about 193 million shares changing hands, slightly above last year’s average of 176 million.

Decliners outpaced advancers 182 to 128 while 51 shares remained unchanged.