JSE extends losses as rand gains strength

The JSE’s strong performance last week appeared to be short lived at lunchtime on Tuesday when the all share‚ hurt by a stronger rand‚ fell deeper into negative territory.

The all-share index was off 0.61% at 51‚164.20 points‚ with the top 40 shedding 0.62%. The losses were broadly in line with Europe’s main stock markets which had begun fading after early rallies.

“I have to admit that I am a little surprised that we have sold off so hard as I am fundamentally bullish. Locally our market has come under pressure as well due to a stronger rand overnight‚” independent trader Petri Redelinghuys said.

“For me‚ this looks like a time when many participants are fearful and I think it’s time to get greedy. That said‚ I am open to the idea that I am wrong.”

Commodity markets were narrowly mixed‚ with the price of Brent crude pulling back just less than 1% to $46.63 as major oil producers gathered for the second day in Algeria to discuss a possible production freeze.

Sentiment was broadly positive earlier in the day after analysts judged Hillary Clinton to be the winner in the first presidential debate against Donald Trump. Clinton is seen as a market favourite.

Hong Kong’s Hang Seng and Japan’s Nikke1 225 finished 1.09% and 0.84% respectively.

Among global miners‚ Glencore retreated 1.51% to R36.55 and African Rainbow Minerals lost 2.41% to R78. Impala

Platinum shed 5.05% to R64.62.

Global luxury goods group Richemont gave up 1.65% to R82.16‚ while Bidvest gained 3.18% to R162.44.

Financial services group MMI Holdings slid 2.36% to R23.56 and Sanlam slipped 1.97% to R63.04. MTN Group was off 1.46% at R122.19.



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