South African stocks were affected by the global market selloff, with all sectors on the local exchange experiencing significant declines.On the local bourse, the resources index was down nearly 3% because resources such as gold and platinum prices have declined.Portfolio Manager at Rand Swiss, Viv Govender, explains this is due to exposure to international markets.
“It’s not the case in South Africa. It’s a case of the world being under pressure. And so, we find that the resource stocks in Africa which are dependent on international demand being the ones that are suffering the most at the moment.”ABSA was among the poor performers on the JSE. Traders are now pricing in a probability of a 50 basis points rate cut in September to stimulate growth amid recession fears based on company results. Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.