JOHANNESBURG - The JSE suffered its worst daily loss since September on Tuesday‚ with a fall by market heavyweight Naspers offsetting gains by banks and retailers.
Banks reached a record high as the local bourse reached a five-week low‚ after the rand held steady. The local currency was bolstered by the prospects of ANC deputy president Cyril Ramaphosa winning his party’s succession race later in December.
Analysts said the rand had not fully priced in political volatility related to the conference‚ warning that Ramaphosa’s current electoral lead may not necessarily translate into actual votes in December.
A firmer rand weighed on rand hedges‚ including Naspers‚ which was already under pressure following a drop in Chinese associate Tencent.
Gold and platinum miners fared worst‚ put under pressure by softer precious-metal prices.
Local data was positive‚ with Statistics SA’s third-quarter GDP data beating market expectations. Despite a weak first quarter‚ growth would probably exceed consensus expectations for the year‚ and momentum would continue into 2018‚ said Capital Economics analysts.
The all-share index fell 1.06 percent to 58‚977.2 points‚ with the top 40 down 1.25 percent
General retailers added 2.01 percent and banks 1.9 percent. Platinums fell 5.02 percent and gold miners 4.64 percent.
Diversified miner Glencore fell 3.6 percent to R60.72‚ Anglo American 2.93 percent to R248.01 and BHP 2.07 percent to R244.60.
Investment holding firm Brait lost 2.69 percent to R44.53, while PSG gained 1.41 percent to R297.03.
Goldfields retreated 5.48 percent to R53.11 and Sibanye-Stillwater 6.42 percent to R16.75.
Impala Platinum lost 8.29 percent to R33.30 and Anglo American 4.12 percent to R342.
Capitec Bank gained 2.07 percent to R996‚ Standard Bank 1.95 percent to R180.49 and Firstrand 2.47 percent to R58.41.
Sanlam rose 4.23 percent to R82.
Steinhoff International slumped 9.15 percent to R45.65‚ ahead of its interim results to end-September on Wednesday. The global retailer plunged 12.09 percent on Monday when it said it was pressing ahead with its results — which are unaudited — amid an ongoing probe by German authorities of alleged accounting fraud.
Steinhoff African Retail (Star) lost 2.96 percent to R24.60‚ while Clicks gained 3.68 percent to R182.47.
Naspers fell 3.03 percent to R3‚520‚ also facing news on the day that a US-based firm was contemplating a class-action lawsuit against the media group‚ due to alleged irregularities over the contract with ANN7.
Shortly after the JSE closed the Dow was flat at 24‚304.69 points. In Europe‚ the CAC 40 had fallen 0.4 percent and the DAX 30 0.3 percent.
Platinum had lost 1.17 percent to $918.52 an ounce and gold 0.67 percent to $1‚267.37‚ while Brent crude was up 0.5 percent to $62.74.