[2008-10-03]  JSE closes in the red, eyes US markets
STOCKS closed deep in the red yesterday, in line with US markets, which opened lower after the release of American jobless data.

US stocks traded lower after the data released showed that jobless numbers had reached the highest levels since those recorded in September 2001.

Locally, resource and platinum stocks came under pressure.

“The data from the US caused the Dow to fall and local markets followed," a trader said.

“Resource and metal prices have also come off considerably and that is hurting our markets."

The trader also said that the then unresolved bail-out issue was a factor in the market.

Earlier in the day another trader said that markets were “holding their breath for the final decision on the US bail-out, which will decide how the market will trade. It is toxic on the market at the moment and there is still a lot of volatility ahead of the bail-out decision.

“It needs to be made clear, however, that the bail-out is only a short-term solution to a long-term problem," he said.

At 5pm, the all share index was 3,31% lower, with resources falling 6,34%.

Platinum stocks dropped 9,40% and gold stocks plummeted 11,30%.

Industrials were down 1,63%, financials lost 0,08% and banks gave up 1,07%.


Anglo American (AGL) fell R10,50, or 3,90%, to R258,50 and BHP Billiton (BIL) lost R10,89, or 6,10%, to R167,61.

Sasol (SOL) gave up R17,70, or 5,33%, to R314,30.

Gold miners AngloGold Ashanti (ANG) toppled R20, or 10,47%, to R171, Gold Fields (GFI) lost R10,95, or 13,49%, to R70,25 and Harmony (HAR) was down R8,01, or 10,27%, to R70.

Among platinum miners, Lonmin (LON) lost R15,15, or 5,57%, to R257, Anglo Platinum (AMS) fell R58,55, or 7,65%, to R706,50 and Impala Platinum (IMP) plummeted R18,75, or 11,31%, to R147.

Impala Platinum yesterday announced that it had moved ahead with its plans to acquire Northam Platinum (NHM) and Mvelaphanda Resources (MVL) by issuing details of its offer, which values the two target companies at R21,9bn.

When markets closed, Northam Platinum (NHM) was down R1,75, or 3,87%, to R43,50. Mvelaphanda Resources (MVL) lost R2,29, or 5,16%, to R42,10.

In other miners, Kumba Iron Ore (KIO) was down R6,41, or 3,52%, to R175,60, Exxaro (EXX) lost R6,95, or 8,06%, to R79,30 while African Rainbow (ARI) gained R2,51, or 1,55%, to R164,01.

Financial services group Old Mutual (OMI) gained 20c, or 1,75%, to R1160 while Sanlam (SLM) was down 40c, or 2,22%, to R17,60.

Among bankers, Standard Bank (SBK) lost 91c, or 1,04%, to R86,90 and Nedbank (NED) lost R2,49, or 2,42%, to R100,50, while Investec (INL) gained 99c, or 2,11%, to R48.

Among industrials, brewer SABMiller (SAB) lost R6,56, or 4,14%, to R152, Bidvest (BVT) fell R2,50, or 2,43%, to R100,50 and Imperial (IPL) gave up R3,80, or 6,15%, to R58.


Woolworths (WHL) was up 32c, or 2,79%, to R11,80. The retailer has advised its shareholders that all the conditions precedent relating to the acquisition by Absa of 50% plus one share of the issued ordinary share capital of Woolworths Financial Services have now been fulfilled.

Electronics holding company Jasco (JSC) was up 7c, or 2,81%, to R2,56. The company has announced an increase in diluted headline earnings per share for the six months to August 31 of 80,9%, to 20,6c from 11,4c in the same period last year. Headline earnings per share lifted 38,9% to 235c.

Source: Copyright © 2005 BDFM Publishers (Pty) Ltd.