Shares still down at noon

The JSE remained in red territory by midday on Thursday tracking negative undertones flowing through global markets.

At 12pm local time the JSE all share index had lost 0.48% and resources fell 0.39%. Platinum miners gave up 1.48% and gold miners dropped 0.26%. Banks moved 0.77% lower, financials edged down 0.33% and industrials were 0.60% weaker. Gold was quoted at $1,233.71/oz from $1,231.66/oz at the JSE's previous close, while platinum was at $1,551/oz from $1,565.00/oz at the JSE's last close.

South Africa's producer price index (PPI) registered growth of +6.8% year-on-year (y/y) in May compared with +5.5% y/y in April, Statistics South Africa (Stats SA) data on Thursday showed.

The PPI increased 0.2% on a monthly basis after April's monthly increase of 1.5%. The PPI was expected to have reached 7.1% y/y.

A local trader however, noted that the data had little effect on the local bourse. "The UK and Europe opened softer this morning, feeling the affects of lousy housing data out of the US on Wednesday. Markets are feeling the effects of negative sentiment creeping back in."

Dow Jones Newswires reports that US stocks are picked to open lower Thursday, as "investors are losing faith in the recovery story following a grim run of housing data and last night's downbeat FOMC statement," says David Morrison of GFT.

Asian stock markets ended mostly lower Thursday, pressured by the Federal Reserve's downgrade of its outlook on the US economy.

On the JSE, Anglo gave up R1.76to R293.57, but BHP Billiton added 76 cents to R219.97. Sasol declined R2.45 to R285.04.