Miners retreat after JSE opens late due to technical glitch

The JSE opened weaker after delayed trade on Monday with retailers and resources leading the losers, as platinum stocks rose on a flat platinum price.

The rand trended lower at R13.4820 to the dollar from R13.4223.

Trade started two hours late due to an unspecified technical problem, with no open orders showing on all EQM trading instruments, the JSE said.

“The remaining trading sessions will follow according to the standard schedule for the day,” the JSE said.

Early trade volumes were weak following a sharp fall in oil prices on Friday. However, on Monday Brent crude was again on the up, gaining 1.16% to $73.88 a barrel.

“The market expected production cuts to be eased, adding more supply to the market and putting downward pressure on prices,” FxPro analysts said.

Oil cartel Opec and nonOpec members are meeting in Vienna on Thursday for the start of a three-day summit where production cuts are on the agenda as the latest US data showed an increase in production.

The Dow closed 0.34% lower on Friday as energy stocks lost ground. Chinese markets were closed on Monday for the dragon boat festival, but the Nikkei 225 shed 0.75%.

At 11.05am the all share was 0.38% lower at 57,441.50 points and the top 40 lost 0.31%. Food and drug retailers shed 0.62%, resources 0.55%, financials 0.53% and gold 0.38%. The platinum index added 0.20%.

Anglo American slipped 0.47% to R305.80 but Sasol gained 0.39% to R481.25.

British American Tobacco dropped 1.79% to R655.85.

Invicta Holdings lost 7.62% to R37 after warning on Friday that annual headline earnings are set to drop 81% on a costly tax liability.

Life insurers were under pressure following Liberty’s reported cyber attack. Liberty Holdings shed 2.82% to R120.50 and Old Mutual 2.31% to R38.41.

Steinhoff Africa Retail dropped 1.95% to R18.14 and Shoprite 1.36% to R230.01.

Nepi Rockcastle gained 3.28% to R126.

Naspers rose 0.53% to R3,316.77.

Source: businesslive.co.za