MONDAY, 5.30PM
SHARE prices on the Johannesburg Stock Exchange fell across the board on Monday as the bullion price continued its free fall.
Gold fixed in London in the afternoon at $318,00, before falling further to $316, a new ten-and-half-year low. The continued fall of bullion precipitated a four-and-a-half-year low on the JSE’s gold index, which shed 48,2 points (5,06%) to 903,9. The industrial index also fared badly, sliding 58,9 points to 8 743. Together they dragged the all share index down 74,8 points (1%) to 7 293,2.
With the New York market closed on Friday for July 4 celebrations, its opening on Monday is expected to bring with it a new rash of sell orders for SA gold shares.
With the current gold price putting SA mines under severe strain, Randgold became the first casualty on Monday when it issued a statement that it is to mothball its Benoni gold mine.
Meanwhile, the rand also suffered at the hands of bullion’s free fall, ending the day nearly a cent down against the dollar. At 4pm the local unit was quoted at R4,5370/$ from R4,5275/$ at Friday’s close.