Stocks post longest losing streak in 16 months

South Africa’s main stock benchmark declines for a fifth consecutive day, the longest losing streak since May 2019, joining peers in Europe in falling on Monday as risk-off sentiment drags equities markets lower.

The FTSE/JSE Africa all share index is down 1% by 9:33 a.m. in Johannesburg, amid widespread weakness on the index, with 97 of the 150 listed companies retreating in early morning trade, led by diversified miners BHP Group Plc and Anglo American Plc.

Investor focus will be on the new wave of Covid-19 in Europe, with a resurgence of the virus posing enormous risk to the global economic recovery, according to Bianca Botes, executive director at Peregrine Treasury Solutions.

“We will keep an eye on Fed Chair Jerome Powell, speaking later this afternoon,” Botes adds.

• Gauge for mining stocks drops 1.6% to the lowest in two weeks.
  • BHP -2.3%, Anglo American -1.9%, Gold Fields -0.9%, Impala Platinum -0.9%, Glencore -3.2%, Anglo American Platinum  -1.1%, Harmony Gold -1.6%.
• Index for bank stocks drops for the third day, down 0.5% to the lowest in almost two weeks.
  • Standard Bank -0.7%, Capitec Bank Holdings -1.1%, Absa -1.4%, Nedbank -1.8%, Investec Plc -2.8%. FirstRand -0.3%.
• Richemont drops 0.4%, MTN sheds 2% While Sasol declines 2.2%.
• Foreigners were net sellers of South African stocks, disposing R815 million worth of shares Friday, according to index operator, JSE Ltd.