The JSE Securities Exchange South Africa (JSE) was a whisker away from turning positive for the year just after noon on Thursday, with a weaker rand and stronger European markets lifting heavyweights at the top end of the market and buying filtering through across the board.
At 12.16pm, the all-share index was up 1,19% at 9 265,38 — less than 12 points away from its closing level for 2002 of 9 277,22. The all-share industrial index was 1,04% stronger, while financials and banks firmed 0,77% and 0,42% respectively. Resources rallied 1,52%, the gold mining gained 0,35%, while the platinum mining climbed 0,71%.
The rand was trading at R7,43 to the dollar from R7,34 when the JSE closed on Wednesday, while gold was quoted at $363,80 an ounce, little changed from the JSE’s last close.
“The market is looking great. The rand is weaker and Europe is up and the strength just seems to be feeding on itself,” a dealer commented.
He continued that big buying of resources was being seen from offshore.
London-listed diversified resources group Anglo American advanced 1,70% or R2,30 to R137,50 and BHP Billiton bounced 1,50% or 70 cents to R47,30.
Impala Platinum leapt 1,29% or R7 to R550, while synthetic fuels group Sasol surged 4,29% or R3,54 to R86,05.
“There is big demand coming through for Sasol. They were very hard hit after their profit warning and I think this was overdone. People are looking to pick up stock at these levels,” the dealer explained.
Mining house Kumba climbed 1,98% or 70 cents to R36. It earlier reported headline earnings per share of 264 cents for the year to June 30, down 31% from 385,3 cents previously, due mainly to the strong rand against the US dollar.
Analysts had been expecting 243,5 cents, according to an I-Net Bridge consensus forecast.
On the all-share industrial index, Swiss-listed luxury goods group Richemont rallied 2,29% or 32 cents to R14,30 and pulp and paper producer Sappi was up 1,35% or R1,29 at R96,99.
London-listed beverages group SABMiller was 1,22% or 65 cents stronger at R54.
Steel producer Iscor soared 4,29% or 79 cents to R19,20.
Group Five was the top performer on the all-share index and was up 11,11% or 72 cents at R7,20.
Before the opening, the construction group reported a 24% increase in headline earnings per share to 111,3 cents for the year ended June 30 from 90 cents a year ago.
On the financial front, London-listed Old Mutual was up 1,42% or 16 cents to R11,45 and Sanlam strengthened 2,56% or 19 cents to R7,60.
Standard Bank firmed 1,55 or 51 cents to R33,51.
However, Nedcor fell 75 cents to R82,00 and VenFin was off 15 cents at R18,35. — I-Net Bridge