JSE opens lower as global growth concerns gain traction
The JSE opened weaker on Tuesday as global growth fears drove US and Asian markets lower. The Dow Jones industrial average closed 1.1% lower on Monday and the S&P 500 was 1.42% off. The Tokyo Nikkei 225 was 5.4% lower. Chinese markets were closed.A combination of concerns surrounding global growth and an absence of decisive central bank action continues to create a trading environment that is challenging for risk assets‚ Momentum SP Reid said in an early morning note.It said the S&P 500 had traded down towards significant support areas‚ with more weakness likely.At 9.37am‚ the all share was 0.93% lower at 48‚968.10 points and the blue-chip top 40 was 0.96% lower. Banks lost 1.99% and financials were 1.46% down. Platinums were up 3.44% and the gold index gained 3.17%.Naspers was one of the early casualties of the day. It traded 2.97% lower at R1‚795 and is now down 16% for the year so far.Among the big miners Anglo American was 0.95% higher at R85.30.Kumba Iron Ore was 2.15% lower at R45.99. It earlier reported headline earnings per share (HEPS) for the year to December 31 2015 fell 66% to R11.82 compared with the year-earlier period.AngloGold Ashanti was 5.02% higher at R184 among gold stocks.Anglo American Platinum was 3.33% up at R310. The stock has recovered 66% year-to-date. Lonmin added 10.10% to R17.99.Banks found little support ahead of the reporting season next month. Barclays Africa was 3.14% lower at R138.84. Capitec lost 2.4% to R490.93.Retailers also had a weak opening‚ with Truworths retreating 2.98% to R93.03. Shoprite shed 1.01% to R142.65.Pharmaceutical group Aspen was 1.96% weaker at R244.50. - TMG Digital/BDlive..
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