Eurozone puts JSE on back foot

eurozone sovereign debt crisis came under the spotlight again.
By 09:17 local time, the JSE all-share index was down 0,58 percent, with resources falling 0,58 percent and platinum miners easing 0,78 percent.
Banks also lost 1,12 percent, financials were 0,75 percent lower and industrials fell 0,53 percent. Gold miners, however, rose 0,29 percent.
The rand was bid at R7,01/$ from R6,98/$ at the JSE’s close on Tuesday. Gold was quoted at US$1 525,39 a troy ounce from US$1 526,21/oz at the JSE’s previous close, while platinum was at US$1 767/oz, from US$1 766,20/oz previously.
“Yesterday’s performance was a bit of an anomaly. Today, the local market tracked international shares lower on concerns over the eurozone,” a trader said.
Dow Jones Newswires reported that Asian stock markets were mostly lower yesterday, with shares in China continuing to suffer amid concerns over a slowing economy and still-strong inflationary pressures.
Japan’s Nikkei Stock Average was down 0,3 percent, Australia’s S&P/ASX 200 was off 0,7 percent, South Korea’s Kospi Composite was off 0,6 percent, China’s Shanghai Composite Index fell 0,2 percent, Hong Kong’s Hang Seng Index was off 0,6 percent and India’s Sensex lost 0,3 percent. Dow Jones Industrial Average futures were down 72 points in screen trade.
Tuesday’s German Ifo survey and US new homes data topped forecasts and helped to limit the recent large sell-offs in risky assets, but sentiment remained fragile in Asia.
In China, the market was down as investors remained wary about the twin threats of a slowing economy and still-high inflation.
“There is concern about high commodity prices and investors are still uncertain about future government macro tightening measures,” said Orient Securities analyst Duan Junfang. – I-NET BRIDGE.