Money SA economy
The JSE remained weaker at noon on Wednesday as shares in resources giant BHP Billiton fell, leading the broader market lower.
Investors are concerned that BHP Billiton may have to raise its offer for Potash Corporation of Saskatchewan, the world's largest fertiliser company, said Mpho Mojalefa, trader at BJM Private Client Services.
By noon local time the JSE all share index had fallen 0.64%, with resources edging down 0.56% and gold miners shedding 1.53%. However, platinum miners rose 0.23%. Banks fell 1.53%, financials were 0.87% lower and industrials lost 0.60%. Gold was quoted at $1,222.70/oz from $1,226.13/oz at the JSE's previous close, while platinum was at $1,539.50/oz from $1,544.50/oz before.
"Investors are not too keen on BHP Billiton's hostile takeover bid for Potash Corporation of Saskatchewan," a trader said, adding that banks came off on profit taking and gold stocks fell due to lower metals prices and the rand.
Retail counters lost ground after the release of retail trade figures. The trader said investors were hoping for better numbers given the effects of the World Cup.
South African retail trade sales at constant (2008) prices for June increased 7.4% year-on-year (y/y) after a revised 4.5% (4.6%) growth in May, figures released by Statistics South Africa showed.
Dow Jones Newswires reported that Asian stock markets were mixed on Wednesday as initial buying interest after Wall Street's gains on Tuesday faded as cautious investors took some cash off the table.
European stock markets were led lower by the oil and gas sector, as investors sorted through a mixed bag of corporate news.
On the JSE, Anglo American lost 12 cents to R275.50, BHP Billiton fell R2.36 or 1.09% to R215 and Sasol shed 35 cents to R290.15.
