JSE dips as strong rand drags industrials and miners lower

THE JSE closed weaker yesterday with a stronger rand pulling industrials and miners down‚ while a lower oil price affected sentiment negatively.

The rand firmed 1% against the US dollar to R13.1995/$ in intraday trade – a 10-month high.

Higher commodity prices of gold and platinum failed to lift the overall market.

Trading on the JSE was lacklustre with little event risk, due to a lack of fresh data after Tuesday’s public holiday, analysts said. The JSE allshare closed 0.51% lower at 52 218.69 points and the blue-chip Top 40, 0.83%.

Resources shed 1.33% and industrials 0.46%. Platinum stocks led the upside‚ adding 3.51% and general retailers gained 2.04%.

Counterpoint Asset Management analyst Sarah Golding said risk-on sentiment continued to dominate markets after the stimulus steps by the Bank of England and the Reserve Bank of Australia last week.

Among rand hedges‚ British American Tobacco lost 1.02% to R836.38 and SABMiller 2.27% to R755.47.

Anglo American was down 2.05% at R152.49‚ with BHP Billiton losing 3% to R180.38.

Kumba Iron Ore dropped 1.59% to R143.68‚ while Anglo American Platinum rallied 3.71% to R469.68 and Impala 3.80% to R67.47.

Among banks‚ Nedbank was up 1.79% to R216.50 and Standard Bank 1.61% to R150.56‚ while Barclays Africa shed 0.45% to R161.77.

Woolworths gained 1.75% to R91.71‚ with Massmart up 2.55% to R155.16. MTN was 2.58% lower at R124.17. Troubled cement producer PPC jumped 7.96% to R8.82. – BDlive