South Africa Stocks Gain a Third Day Amid Trade Hopes
South Africa’s main stock index was 0.5% lower as of 11:24 a.m. in Johannesburg, reversing gains of as much as 0.4% as miners, insurers and banks lose ground and outweigh strength in Naspers Ltd. and Sasol Ltd.
Tuesday’s weakness comes as Asian and European markets climb on optimism about coronavirus treatments and as signs of progress in trade negotiations boost demand for riskier assets. European index of basic resources stocks bucks gains, turns lower, following declines in iron ore prices.
Johannesburg-traded diversified miners join gold and platinum producers to pull gauge of mining stocks down 1.5%.
- NOTE: Iron Ore Futures Slip as Global Steel Output Weighed
- Anglo American Plc -1.7% to provide biggest drag on the index
- BHP Group Plc falls for the sixth consecutive session, down 1.1% to the lowest in more than two weeks
- Exxaro Resources Plc -3%, Glencore Plc -0.4%
- Index of gold stocks retreats for a sixth session, the longest losing streak since January as investors weigh progress in trade against bullion’s continued appeal as a haven asset.
- AngloGold Ashanti Ltd. -1.2%, Harmony Gold Mining Co. -2.9%, Gold Fields Ltd. -0.4%, Pan African Resources Plc -3.3%, DRDGold Ltd. -2.5%
- Index of platinum companies halts a two-day gaining streak, falls 2.4%. Impala Platinum Holdings Ltd. -3.9%, Northam Platinum Ltd. -4.2%, Anglo American Platinum Ltd. -1.6%, Sibanye Stillwater Ltd. -1.1% Royal Bafokeng Platinum Ltd. -0.2%
- Old Mutual Ltd. leads index of insurers down 1.8%
- Old Mutual -3.7%, Sanlam Ltd. -1.2%, Discovery Ltd. -0.9%, Momentum Metropolitan Holdings -1.3%, Liberty Holdings Ltd. -1.4%
- Index of bank stocks falls for the first day in three, index is down 0.4% even as rand strengthens
- NOTE: Rand’s Winning Run Continues Before Bond Sale: Inside S. Africa
- Standard Bank Group Ltd. -1.7%, FirstRand Ltd. -0.4%
- Naspers rises for the third day, up 0.7% to provide biggest boost to the market.
- Index heavyweight Sasol extends gains to a fourth day, up 2.8% to the highest in more than a week, following strength in Brent crude oil prices.
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