MARKET WRAP: JSE posts broad-based losses, with focus now on economic data

The JSE began the new week on a negative note, recording broad-based losses on Monday as markets eyed risk events this week.

The rand was mixed against major global currencies, lacking clear direction. Global market focus remains on trade-war risk, after US President Donald Trump said on Friday his administration was in position to levy additional tariffs on Chinese imports. Asian bourses were also lower, with Trump’s call for Apple to move manufacturing jobs back to the US also raising some eyebrows.

Local focus is on political dynamics within the ANC, as well on local economic data this week. Manufacturing numbers for July are due on Tuesday, while retail sales data for the same month is expected on Wednesday and mining production on Thursday.

The all share fell 0.62% to 56,715.3 points and the top 40 0.57%. Platinums fell 2.31%, general retailers 1.44% and food and drug retailers 1.08%.

AVI rose 1.33% to R113.14, after earlier declaring a special dividend of R2.50 per share for the year to end-June. Group operating profit rose 7% to R2.55bn and net profit 8% to R1.67bn.

Richemont gained 0.68% to R129.40, after saying that in the five months to end-August group sales rose 10% at constant exchange rates, and by 7% at actual exchange rates.

Afrox gained 1.74% to R29.30, after earlier declaring a 52c dividend for the six months to end-June, a 13% rise from the prior comparative period.

Attacq lost 1.4% to R15.50, ahead of its results for the year to end-June on Tuesday. The group said in August that its net asset value per share was expected to be between 20% and 25% higher than previously.

Naspers fell 1.09% to R3,117.

Shortly after the JSE closed, the Dow was flat at 25,932.2 points, while in Europe, the CAC 40 was up 0.39% and the DAX 30 0.26%. The FTSE 100 was 0.15% lower.

At the same time, platinum had gained 1.5% to $793.75 an ounce while gold was flat at $1,196.46. Brent crude was 0.42% higher at $77.33 a barrel.

The top 40 Alsi futures index fell 0.61% to 50,475 points. The number of contracts traded was 18,766 from Friday’s 21,302.