JSE starts week on a negative note as Naspers plunges

The JSE opened more than 1% lower on Monday morning, putting it potentially on track for a fourth consecutive week of losses, as market heavyweight Naspers fell sharply.

Naspers fell 4.92% to R2,765, tracking losses in Hong Kong associate Tencent, which has lost about $250bn in market capitalisation from its January share price high.

Tencent, along with other Chinese tech giants, has come under sustained pressure in recent weeks as investors increasingly question the future of the global technology supply chain, given the US-China trade war, reported Dow Jones Newswires.

Locally, ratings agency Moody’s opted not to release its expected credit-rating review of SA on Friday, with analysts saying the agency may now wait for the medium-term budget policy statement.

The local market is expected to continue to take its cue from global events, although investors should become increasingly sensitive to local factors as the medium-term budget draws near, said Sasfin Securities fixed-income trader Alvin Chawasema.

At 9.30am on Monday the all share was 1.2% lower at 52,832 points and the top 40 1.46%. Industrials had fallen 2.12%. Gold miners were up 6.02%.

Diversified miner Glencore fell 1.15% to R59.46.

Adcorp Holdings surged 10% to R18.70, after earlier reporting 3% growth in group revenue to R8bn for the six months to end-August.

Sibanye-Stillwater jumped 11.25% to R12.26, Anglogold Ashanti 5.82% to R144.67 and Harmony 5.41% to R29.79.

Balwin Properties rose 3.24% to R3.51, after earlier reporting 18% growth in net asset value per share in the six months to end-August.