JSE flat as diversified miners’ losses offset banks and retailers
The oil price was slightly weaker on Friday morning, putting pressure on diversified miners, while Chinese data earlier was also downbeat
The JSE was little changed on Friday morning, despite some pressure on global equity markets, as gains by banks and retailers were offset by rand hedges and miners.
The oil price edged a little lower, while the prices of industrial metals were under pressure, after data earlier showed that Chinese industrial production growth fell to a 17-year low in May.
The rand was a little firmer, but its outlook remains somewhat cloudy, analysts said.
At 10am the rand was 0.21% firmer at R14.8378/$, giving some support to local interest-rate-sensitive stocks.
The all share index was flat at 58,685.1 points and the top 40 little changed. Banks were up 0.35% and general retailers 0.65%. The resources index was down 0.36%.
Gold was up 0.98% to $1,354.96/oz and platinum 0.19% to $813.97. Brent crude was 0.31% lower at $61.12 a barrel.
Diversified miner BHP was down 1.09% to R360.07 and Anglo American 0.81% to R395.70.
Rand hedge AB InBev was down 1.34% to R1,262.85 and British American Tobacco 1.06% to R543.10.
AngloGold Ashanti was up 3.53% to R237.35 and Gold Fields 3.24% to R79.14.
Mr Price was up 1.34% to R204.80.
Naspers was down 0.4% to R3,471.23, having added 0.68% on Thursday, as markets digested news from the market heavyweight that it headline earnings per share (HEPS) from total operations, a metric that strips out non-operational items, increased by between 31% and 33% in the year to end-March.
Trade on the JSE on Friday may be subdued a little, as Monday is a public holiday. The week ahead, however, is a busy one, with local consumer inflation due on Wednesday. Further details on state policy towards state-owned enterprises may also be outlined on Thursday, when President Cyril Ramaphosa delivers the state of the nation address (Sona).
All eyes will also be on the US Federal Reserve, which will make its latest stance on monetary policy known on Wednesday.