Money SA economy
The JSE was awash in red in noon trade on Friday in line with global markets after the US Federal Reserve's surprise decision to raise its discount rate which has soured risk appetite and placed downward pressure on commodity prices.
A softer rand helped to pare some of the losses however.
At noon, the JSE all share index was 1.04% lower, with resources down 1.82%, gold mining shares lost 1.75% and platinum miners fell 0.73%. Banks and financials declined 0.60% and 0.55% respectively, while industrials lost 0.50%.
Gold was quoted at $1,108.60/oz from $1,117.57o/z at the JSE's last close, and platinum was at $1,506.50/oz, from $1,529.50/oz at the bourse's previous close.
"There's weakness across the board on Friday. Some of the retailers are looking positive however. We're just following world markets, which have weakened after the US Fed's surprise decision last night to raise its discount rate. This has put commodity prices under pressure so resource stocks in particular are feeling it," a local equities trader said.
Meanwhile, Asian shares mostly declined on Friday as the U.S. Federal Reserve's decision to raise its discount rate pushed the dollar higher but hurt investor sentiment and commodity prices, with Hong Kong stocks falling the most.
On the JSE, Anglo American shed R8.40, or 2.83%, to R288.50 and BHP Billiton dropped R4.30, or 1.79%, to R235.68. Sasol declined R3.10, or 1.10%, to R278.40.
