The JSE closed lower on Monday, as mining stocks dragged the all share down and a recovery in banking and financial stocks on the firmer rand was not enough to boost the overall market. Gold and platinum stocks lost 1% in tandem with oil prices, despite a slightly weaker dollar against the euro. Brent crude was 1.12% lower at $45.17 a barrel, causing renewed disinflationary concerns, resulting in a weaker dollar and sending US bond yields lower again as prices rose. The rand gained 0.60% to R12.8452/$, with analysts saying the rand was now ready to attempt breaching the R12.80/$ level. The JSE ignored a firmer start on the Dow and an upbeat performance from European stocks. Higher commodity prices, together with strong local consumer spending that supported retailers, was necessary for the economy to recover from its present recessionary conditions, Old Mutual Multi-Managers chief investment strategist Dave Mohr said. Mohr pointed out that commodity prices plunged across a broad fro...
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