JSE softer as investors eye US earnings

Johannesburg - The JSE opened softer on Tuesday, with investors cautious as they await the latest round or earnings reports in the US.

By 09:21 local time the JSE all share index had fallen 0.30% as resources shed 0.74%, gold miners declined 0.54% and platinum miners lost 0.43%. Banks gave up 0.33%, while financials softened 0.20%, but industrials rose slightly 0.08%.

The rand was bid at R7.60 to the dollar, unchanged from the JSE's last close. Gold was quoted at $1 199.71 a troy ounce from $1 198.41/oz at the JSE's previous close, while platinum was at $1 512.00/oz from $1 520.50/oz before.

A local trader said the market had a slow start and was tracking world equities.

The trader said Asian stocks were weaker and US futures were lower despite a strong performance on Wall Street on Monday. However, European shares opened slightly firmer, the trader said.  

"Investors are likely to remain cautious today in light trade," she said. 

Dow Jones Newswires reported that Asian shares were mostly lower on Tuesday as early cheer after Alcoa's positive earnings report was dampened by losses in Chinese shares after Beijing reiterated its determination to rein in the red-hot property market.

Shares in China were trading sharply lower, dragging on the rest of the region after the government denied an unsourced report in the state-run Securities Times on Monday that China had loosened some controls on mortgage lending in first-tier cities.

In Tokyo the Nikkei ended down 10.8 points, while in Hong Kong the Hang Seng was last 88 points weaker. Overnight the Dow closed up 18 points.

   - I-Net Bridge