SA stocks fall amid weakness in Naspers, Richemont

South Africa’s main stock benchmark declined as weakness from index giants Naspers, Richemont, Anglo American Plc and BHP Group Plc offset gains among precious metal miners and banks.

The index was down 1.7% by 9:54 a.m. in Johannesburg, with 94 of the 142 listed companies opening lower. The retreat extends losses for a second week, after the market was closed Thursday for Heritage Day.

South Africa’s weakness comes as global equities markets recover on Friday, with investors weighing the chances of a new American stimulus package against an uptick in global coronavirus cases.

• Naspers falls 4%, the biggest intraday decline since September 4, to provide biggest drag to the index as partly-owned tech giant, Tencent retreats for a second day in Hong Kong. Naspers holds a 31% stake in Tencent through its subsidiary Prosus NV, which is also down 2.7%.
• Rand-hedge Richemont falls 3.2%, the biggest intraday drop since July 16.
• Index for bank stocks falls 0.8%, shaking off gains in the rand.
  • Capitec -2%, Absa -1.2%, Standard Bank -0.5%, FirstRand -0.2%, Investec -1.2%, Nedbank -0.4%.
• Gains in gold and platinum producers counters weakness in BHP and Anglo American, driving gauge for mining firms up 0.2%.
  • Sub-index for gold miners rises 3.1% as bullion prices rebound.
    • AngloGold Ashanti +4.4%, Harmony Gold +2.3%, DRDGold +3%, Pan African Resources +0.6%.
  • Sub-index for platinum firms up 0.9%.
    • Impala Platinum +2.3%, Anglo American platinum +1.9%, Royal Bafokeng Platinum +2.4%, Northam Platinum +0.2%
• Foreigners were net sellers of South African stocks for a fifth day Wednesday, disposing of R20 million worth of shares, according to index operator, JSE Ltd.