SA stocks sink again as commodities routed

Johannesburg - South African stocks sank for a second session in a row on Tuesday, pulled down once again by a global resources sell-off that saw platinum hit five-year lows and iron ore plumb a record trough.

Leading blue-chip decliners, Kumba Iron Ore [JSE:KIO] fell nearly 5% to R179, a 5-1/2 year low, after the price of its commodity slipped below $60 a ton - its lowest since records began in late 2008 - under pressure from a global glut as China's economic growth slows.

The rand fell to 13-year lows against the dollar but this offered no relief to local mining companies, which often benefit from a weaker domestic currency because they sell for greenbacks.