South African stocks opened weaker on Thursday taking direction from poorly performing Asian markets amid risk aversion in the wake of disappointing US data.

At 9.21am the JSE all share index had weakened 0.86 percent, with resources losing 1.18 percent. Platinum producers edged down 0.59 percent and gold counters shed 2.24 percent.

Banks weakened 0.42 percent, financials gave up 0.54 percent and industrials were off 0.74 percent.

The rand was bid at 7.85 to the dollar from 7.76 when the JSE closed on Wednesday. Gold was quoted at $1032.32 a troy ounce from $1033 just before the JSE's last close, and platinum was at $1313 an ounce, from $1301 at its previous close.

"We have edged lower this morning. The dollar has strengthened again and there is risk-averse trade in the market. Figures out of the US also were not that great, the consumer is still under pressure," a trader said.

"However, I doubt that we are going to have a big sell off. If you look at the market technically, the Dow seems to be getting oversold. The Dow could fall a little bit more and then we could rally again.

"It's difficult to say what is going to happen for the day. We have data out again this afternoon and I get the feeling that we are close to turning. Things are not as bad as everyone thinks, one needs to look for some buying opportunities soon," he said.

Dow Jones Newswire reports a round of tepid economic and corporate reports weighed on stocks broadly, with Alcoa, Caterpillar and American Express leading the DJIA to its third triple-digit decline in four sessions.

Setting off Wednesday's session was disappointing data on new-home sales and durable goods ahead of a heavily watched on Thursday report on third- quarter gross domestic product in the US. After earnings dominated the tape in recent weeks, traders said economic data will likely be driving investor sentiment in the near term.

Partly driven by the economic data, the DJIA closed down 119.48 points, or 1.21 percent, to 9762.69. Alcoa, off 88 cents, or 6.9 percent, to $11.93, and Caterpillar, down 2.26, or 4 percent, to 54.43, were two of its weaker components. For metals and industrial firms, global demand concerns dominated the trading and also hurt commodities prices broadly.

The latest slate of economic data was also hurtful to investors' psyche regarding risk, with small-capitalisation stocks and emerging markets funds finishing well worse than the blue-chip Dow.

Among other indexes, the S&P 500 lost 20.78, or 1.95 percent, to 1042.63, marking its fourth-straight decline and closing at its lowest level since October 5.

Asian share markets are solidly lower on Thursday after large declines on Wall Street sapped investors' appetite for risk, with the Australian market hitting three-week lows and NEC Electronics slumping in Tokyo on its downbeat earnings report.

In Japan, the Nikkei fell 1.8 percent to close below 10 000 for the first time in three weeks, and Hong Kong's Hang Seng was last down 2.4 percent.

European bourses are likely to open lower as investors take some more profit on the year's phenomenal gains.

I-Net Bridge

What is a rand freeze? What does it mean to 'freeze' a currency - and what are the consequences? Here's how it works.

Great or gloomy? Do you think Finance Minister Pravin Gordhan's first Budget speech was great or gloomy?

SA firms top world's best Three South African companies have made their way onto a list of the world's top 40 firms.