South African shares of global mining group Anglo American fall 1.3 percent after UBS downgrades its rating to “neutral” from “buy” and cuts its earnings forecasts, citing country risk and expectations of lower production.
At 11:10 SA time, shares down 1.27 percent to 255.71 rand.
UBS cut its earnings forecasts between 2012 and 2014 for Anglo by up to 40 percent to reflect expectations of falling platinum and copper production.
Citing “heightened South Africa risk”, it noted concerns stemming from the wave of violent, wildcat strikes that swept South Africa's mining sector this year. - Reuters