JSE slumps on news that Nhlanhla Nene wants to quit

The JSE all share opened weaker on Monday in thin trade as Finance Minister Nhlanhla Nene asked President Cyril Ramaphosa to relieve him of his duties.

This followed public pressure over his testimony at the commission of inquiry into state capture at which he admitted to meetings with the Gupta family without informing the president.

The rand weakened to just below R15 to the dollar on the news, and was at R14.9225 soon after the JSE’s opening. 

Moody’s will announce its latest credit rating review this Friday while the medium-term budget policy statement will be presented on October 24.

Volumes on the JSE were lower on a public holiday in the US. 

The Dow closed 0.68% lower on Friday amid disappointing nonfarm payroll numbers, which raised concern that the US Federal Reserve would go ahead with further rate hikes in a weaker economy.

Asian markets were lower on Monday, despite the Chinese central bank cutting its reserve ratio requirement by 1% to spur liquidity after a week-long holiday.

The Shanghai Composite lost 3.72% and the Hang Seng 1.22%. Tencent dropped 1.5%, placing pressure on Naspers, which lost 1.04% to R2,860. Naspers owns a third of Tencent.

At 9.30am the all share was 0.74% lower at 54,004.60 points and the top 40 lost 0.88%. General retailers lost 1.82%, banks 1.49%, platinums 1.13%, food and drug retailers 1.2%, financials 0.9% and industrials 0.83%.

Sasol slipped 1.29% to R546.22 on a lower oil price, with Brent crude falling 0.93% to $83.21 a barrel.

British American Tobacco rebounded 1.18% to R671.46.

FirstRand was 2.19% lower at R60.35.

Sanlam lost 1.61% to R73.26 and MMI Holdings 1.79% to R16.50.

Woolworths lost 1.47% to R46.85, the lowest level since June 2012.

Greenbay Properties picked up 2.2% to 93c.

Aspen Pharmacare was 1.41% lower at R161.34.

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