Money SA economy
The JSE extended its losses in midday trade on Tuesday amid some profit taking following gains made last week, according to a local trader.
He said that international markets also weighed on the local bourse having reacted to a media article, which questioned the stringency of the recent European stress tests, thereby raising fresh fears about the banks' exposure to sovereign debt.
By 12pm local time the JSE all share index had lost 0.49%, led by resources, down 0.81%. Gold miners however, were flat (0.04% higher) and platinum miners eked out a gain of 0.13%. Banks declined 0.74%, financials shed 0.39% and industrials declined 0.22%. Gold was quoted at USD1,246.49 a troy ounce from USD1,249.37/oz at the JSE's previous close, while platinum was at USD1,548/oz from USD1,558.50/oz before.
A local trader said: "There is no real direction at the moment however, as we wait for the US market to open following a holiday there yesterday. The report on European stress tests would have added a negative tone to international markets, while political developments in Australia also affected trade in Asia," he said.
Dow Jones Newswires reports that US stocks are set to open lower, following losses in Asian and European markets. Declines in banking stocks in Europe hurt sentiment, as a Wall Street Journal article on the European stress tests reignited fears about the banks' exposure to sovereign debt.
European stocks were lower Tuesday, with the banks in focus as a Wall Street Journal article on the European stress tests raised fears about the banks' exposure to sovereign debt.
Asian stocks were mixed, as markets traded on local cues after the holiday on Wall Street, while steel companies in the region gained on expectations of higher Chinese steel prices.
On the JSE, Anglo American lost R3.63 or 1.3% to R275, Sasol fell R4.48 or 1.55% lower to R285, and BHP Billiton shed 199 cents to R208.80.
