The JSE fell for the second consecutive day on Thursday as global economic growth concerns weighed on equity markets around the world.
The all-share index was off 0.63% to 51,228.90 points at lunchtime, with the top 40 losing 0.69%.
Notably, industrial stocks were lower, because the sector reflected a variety of economic activities, such as retailing.
Financials (including banks), were also lower, following the medium-term budget policy statement, which analysts largely welcomed, even as doubt lingered over whether it went far enough to appease debt-ratings agencies. Leading agencies Moody’s and S&P Global Ratings will review SA debt before the end of the year.
"Fiscal consolidation in the medium-term budget policy statement is mostly on track but will continue to be challenged by slow progress and uncertainty around structural reforms to support growth," Moody’s lead analyst Zuzana Brixiova said. "Key fiscal risks to the budget delivery and hence to SA’s credit quality include lower than projected growth, emerging wage pressures, and rapidly rising contingent liabilities related to financially weakened state-owned enterprises."
"Markets have been struggling for a while to gain traction. I think the guys are mainly worried about a sliding oil price again and fresh economic worries globally in general," said Vasilis Girasis, a trader at BP Bernstein Stockbrokers.
The price of Brent crude briefly dipped below $50 a barrel, depressing resources stocks such as Sasol, though a weaker rand limited the downside in rand-hedge shares.
Europe’s leading markets were weaker at midday, as were US stock futures, following a batch of mixed US earnings for the third quarter.
Petrochemical company Sasol’s share price was off 1.01% to R383.71 at 1.30pm, while BHP Billiton dropped 1.45% to R207.81. AngloGold shed 1.99% to R186.46 and Sibanye retreated 6.01% to R39.25.
Luxury goods maker Richemont was off 1.44% to R90.80 and industrial group Barloworld shed 1.66% to R85.67.
Standard Bank dropped 1.32% to R139.88 and Barclays Africa lost 1.54% to R152.41.
Mr Price gave up 1.62% to R152.70, but Clicks added 1.75% to R123.98 after reporting a 14% rise in full-year headline earnings per share.
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