Fin24

JSE slips to two-week lows on risk off

2012-11-15 13:55

Johannesburg - The share market slipped to its lowest level in just over two weeks on Thursday‚ tracking weaker global markets.

At 12.16pm‚ the All Share [JSE:J203] index was 0.56% lower at 37 034.86 points‚ with the Top 40 - (Tradeable) [JSE:J200] shedding 0.60% to 32 844.60. Gold and platinum stocks gave up 1.30% and 1.29%‚ respectively‚ while banks dropped 1.14%.

“Global risk-off trade continues to dominate in the aftermath of the US elections‚” said Mohammed Nalla‚ analyst at Nedbank Capital. “That negative trend is reflected in the rand weakness‚ with offshore investors exiting their positions on SA assets.”

The rand slid to R8.95/$ during the morning before recovering slightly to about R8.91.

The US fiscal cliff of spending cuts and tax hikes‚ due to take effect in January next year‚ remains one of the key investor concerns‚ Nalla said.

Leading European shares were weaker at noon‚ with London’s FTSE 100 down 0.37%.