After being up over 1% at one stage, the JSE was well off its highs just before noon on Friday due to selective offshore selling of heavyweight stocks. Volumes were fairly light, which contributed to the market’s volatility.
By 11.55am, the all share index was up 0,25%. Resources rose 0,59% and the platinum mining index jumped 2,68%, while the gold mining index was flattish (-0,04%). Industrials inched up 0,12% and financials dipped a marginal 0,05%, but the banks index was 0,69% better.
The rand was bid at 6,40 per dollar from 6,42 when the JSE closed on Thursday, while gold was quoted at $681,50 a troy ounce from a previous $689,70/oz.
“We seem to be following a pattern. Every time we start to recover, orders come in and knock us,” a dealer said. “I think there is a move out of emerging markets, but I don’t know how widespread it is. It might be an isolated institution or a number of institutions getting out of South African stocks.”
He continued that the market was very choppy.
When the sell orders came in, which seemed to be from offshore, they were quite aggressive.
Stocks such as Anglo American, Old Mutual, Barloworld and Tiger Brands had been hit in the last hour, the dealer commented.
On the JSE’s resources index, London-listed Anglo lost 90 cents to R253,10, but BHP Billiton was 41 cents better at R126,01.
Petrochemicals group Sasol strengthened 1,31% or R3,17 to R244,75.
Impala Platinum leaped 3,84% or R46,41 to R1 255, while AngloPlat added 2,3% or R14 to R624,01.
Western Areas soared 5,43% or R2,01 to R39 on news that Gold Fields had acquired an additional 18,27-million Western Areas shares, at a price of R40 per share. This acquisition brings Gold Fields’ total stake in Western Areas to 15,47%.
Gold Fields, however, was down one rand at R146 and AngloGold Ashanti was off R2,78 at R317,02.
Harmony Gold was 1,67% or R1,50 higher at R91,50.
On the all share industrial index, Illovo Sugar leaped 2,25% or 45 cents to R20,45 after earlier trading at a record high of R20,51.
It was announced before the opening that Associated British Foods had given notice of its firm intention to make an offer to acquire 51% of Illovo for a cash consideration of R21 per share.
Illovo on Friday reported a 127% increase in headline earnings per share to 104,2 cents from 45,9 cents previously.
The total dividend per share (DPS) was up 145% to 62,5 cents from 25,5 cents before.
Cellular network operator MTN jumped 2,8% or R1,60 to R58,70.
Media group Naspers notched up 1,86% or R2,30 to R126. London-listed brewer SABMiller, however, slipped 1,17% or R1,49 to R126,31.
Brand management group Barloworld weakened 1,63% or R1,89 to R114,01 and food group Tiger Brands fell 1,24% or R1,99 to R158,01.
London-listed financial services group Old Mutual fell 1,6% or 33 cents to R20,31.
Sanlam surrendered 13% or 20 cents to R15,15.
Absa eased 25 cents to R110,50 and Nedbank dipped 20 cents to R123,10.
FirstRand firmed 1,02% or 19 cents to R18,80 and Standard Bank climbed 60 cents to R79,60. – I-Net Bridge