Picture: JSE
Picture: JSE

The JSE weakened sharply on Monday morning, in line with lower global markets, amid concern that the global economy was slowing.

Weak eurozone data helped prompt sharp losses on global equity markets on Friday, while a number of continuing risk events are giving investors reason for caution.

Uncertainty over Brexit continues, with reports that UK Prime Minister Theresa May could soon be forced out by her cabinet. US-China trade talks continue this week, but local focus is squarely on the latter part of the week.

The Reserve Bank interest rate decision on Thursday will be closely watched, but Friday is the main event, as the ratings pronouncement from Moody's Investors Service is due.

At 10am the all share was down 0.83% to 55,643.4 points and the top 40 0.81%. The resources index had lost 1.54%, platinums 1.67% and industrials 0.38%. The gold index was up 0.52%.

Platinum had firmed 0.7% to $851.90/oz and platinum 0.31% to $1,316.86. Brent crude was 0.33% lower at $66.74 a barrel.

Asian markets were sharply lower, with Japan's Nikkei falling more than 3% — its worst performance so far in 2019.

Locally, diversified miner Glencore was down 1.01% to R58.76, Anglo American 1.63% to R368.23 and BHP 1.4% to R330.98.

Sasol was down 2.88% to R439.

Rand hedge AB InBev was down 2.18% to R1,161.44, British American Tobacco 1.49% to R581.67 and Richemont 1.33% to R101.76.

Naspers was up 0.44% to R3,292.51, having earlier said it planned to list its nonSA internet operations in Amsterdam, including its prized stake in China’s Tencent. There would be a secondary listing on the JSE.

Growthpoint fell 2.6% to R23.60. It said earlier that its board had decided not to allow investors to buy new shares with the interim dividend to end-December, and shareholders would instead receive cash. This decision was made due to current market conditions.

York Timber fell 6.67% to R1.26. It said earlier that revenue fell 11% in the six months to end-December, with its performance hit by a strike at its operations.

gernetzkyk@businesslive.co.za