MARKET WRAP: JSE falls 2% as global mood sours
A host of geopolitical and economic concerns weigh on risk assets, with Naspers plunging nearly 5%
The JSE weakened sharply on Tuesday, under pressure from a risk-off global environment, and investor caution ahead of the medium-term budget policy statement (MTBPS). Global markets, in general, were weaker, with the Dow opening sharply lower, as sentiment remains under strain due to geopolitical tension in the Middle East and concern over the Italian budget deficit. Gold miners found support from a weaker rand and investor interest in safe-haven assets, however, with the price of the precious metal climbing to a three-month high. Analysts expect cautious trade ahead of the medium-term budget, which will be closely scrutinised for signs it will provide some sort of fillip for SA’s struggling economy. The all share fell 1.98% on the day to 51,1168.5 points and the top 40 2.23%. Banks relinquished 2.6%, general retailers 1.8% and industrials 2.27%. Gold miners rose 5.32% and platinums 1.21%. Asian markets were sharply lower on Tuesday, after enthusiasm following the announcement of a ...
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