Picture: MICHAEL ETTERSHANK
Picture: MICHAEL ETTERSHANK

The JSE opened weaker on Tuesday, as Steinhoff rebounded another 20%, but Naspers retreated on weaker Asian markets.

Chinese internet company Tencent, of which Naspers owns about a third, fell 2% in Hong Kong trade as the market remained cautious ahead of an expected US interest-rate increase this week.

The Dow closed 0.23% up at 24,386.03 points on Monday. The Nikkei 225 was down 0.32% and the Hang Seng 0.55%.

Markets were subdued ahead of the rates decisions by central banks this week, including the US Federal Reserve on Wednesday. The European Central Bank and Bank of England will announce their current monetary policy stances on Thursday.

Despite this, foreign flows to SA markets rebounded strongly last week, with inflows of R5.24bn. Although this was a far cry from the outflow of R15.3bn seen in the previous week, it was still a solid inflow as it was well above the weekly average, analysts at Nedbank Corporate and Investment Banking said.

All of the inflows were led by the equity market, Nedbank said.

Steinhoff was up, after the JSE reaffirmed its previous decision not to suspend trade in the share. The JSE noted that trading in Steinhoff continued on the Frankfurt Stock Exchange.

"This means that if the JSE were to suspend trading in Steinhoff, it would place investors trading on the JSE at a disadvantage to those who were able to trade in Frankfurt," the JSE said.

The JSE confirmed it was reviewing trading in Steinhoff after the company’s announcements last week, when CEO Markus Jooste resigned.

At 9.32am the all share was 0.51% lower at 57,699.80 and the blue-chip top 40 lost 0.52%. The gold index shed 1.35%, industrials 0.95% and food and drug retailers 0.61%. Resources edged up 0.09%.

Harmony lost 3.45% to R22.42 and Sibanye 2.71% to R16.54.

Steinhoff rose 31.35% to R12.29 and Steinhoff Africa Retail 3.7% to R17.38.

Property group Nepi Rockcastle lost 1.14% to R210.58.

Naspers was down 2.83% to R3,521.32.

Sappi shed 1.23% to R96.59.

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