• Change of culture needed

    The right leadership will help SA shed its culture of violence, says Mandi Smallhorne.

  • 10 tips to find bargains

    Susan Erasmus gives advice on how bargain hunters can get the most bang for their buck.

  • Inside Labour

    Labour's bitter breaches need to be seen in historical context, says Terry Bell.

See More

Industrials‚ platinums weigh on JSE

Jan 14 2013 18:49 I-Net Bridge

Related Articles

JSE flat at noon‚ platinums drag

JSE slightly weaker on consolidation

Platinums‚ Draghi pare JSE losses

JSE drifts lower as banks weigh

JSE follows world stocks higher

Top 40 index hits another record

Johannesburg – The JSE ended slightly lower on Monday‚ dragged down by platinum stocks and the broad sell-off in the retail sector following Shoprite Holdings’ trading update.

At 17:00‚ the All Share [JSE:J203] index was down 0.34% to 40 144.07 points‚ with the Top 40 - (Tradeable) [JSE:J200] index edging down 0.33% to 35 673.42‚ while the platinum and industrial indices shed 1.10% and 0.87%‚ respectively.

“Retailers‚ after being one of the top performing sectors in 2012‚ are‚ in the short term at least‚ feeling the pressure of stretched valuations which now trade above historical means albeit below historical highs. The Foschini Group and Woolworths were particularly hard hit in sector sympathy‚ posting intraday losses in excess of 5%‚” said Shaun Murison‚ market analyst at IG SA.

Leading European shares pared gains in late trade‚ with London’s FTSE 100 slipping 0.19% while the Dow Jones Industrial Average was last seen down 0.13%.

Among individual shares on the JSE‚ Anglo American Platinum (AMS) was down 1.82% to R491.01 after the world’s largest platinum producer said its headline earnings per share in the year ended December 2012 were expected to decrease to a loss of between 491 cents and 628 cents‚ from a profit of 1‚365 cents a year ago.

Impala Platinum (IMP) was down 1.62% to R169.70 while ArcelorMittal SA (ACL) picked up 1.89% to R37.70.

Brewing giant SAB Miller (SAB) was down 1.11% to R408.15 and financial services group Abil (ABL) shed 2.54% to R31.48.

Shoprite (SHP) finished down 5.93% to R188 after the food retailer said its turnover in the six months to December grew 13.8% to R46.7bn.

“The general feeling in the market after Shoprite’s trading update is that other retail counters will not be able to sustain earnings at current valuations. Investors expected a 15% increase in turnover.

“The price-to-earnings ratio of these companies remains too high after having been pushed up largely by offshore investors‚” said Hennie Fourie‚ stockbroker at PSG Konsult in Pretoria.

The Foschini Group (TFG) shed 5.04% to R131.23‚ Woolworths (WHL) dropped 5.19% to R66.35 and Furniture retailer Lewis (LEW) lost 5.89% to R70.30.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

shoprite holdings  |  jse  |  markets


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

Brought to you by BizNews

More from BizNews

We're talking about:


Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.

Top 10 richest musicians of all time

Check out the gallery to find out who they are!


Luxury living

10 of the most expensive things that will leave your jaw hanging!
Seven of the most expensive children's toys ever made
5 millionaires turned murderers
The youngest billionaires in the world and how they made it

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How do you see your boss? He/sheis:

Previous results · Suggest a vote