FRIDAY, 6.00PM
SHARES on the Johannesburg Stock Exchange ended mixed on Monday as gold shares gained on the steady bullion price, while industrials and financials fell victim to futures manipulations and caution ahead of the release on new economic data after the close of local markets.
At the close the all gold index had gained 26,3 points to 969,2, while the industrial index had fallen 20,5 points to 8 637,5. The financial index dropped 20,2 points to 9 900, which helped drag down the all share index by 16,9 points to 7 084,4.
Overall trade was very thin, with a below par R600,7-million worth of shares changing hands, leaving 159 issues advancing compared to 175 issues declining, while 160 issues ended unchanged.
Gold shares continued their rally as investors slowly bought them on the back of the bullion price maintaining its advance over the weekend, dealers said. Bullion was last quoted at $327,70 from a London afternoon fix of $327,10/oz.
Bond yields ended firmer on Monday as the market awaited the release of money supply and credit extension figures. At 4:30pm the benchmark long government bond, the R150, was quoted 4,5 points stronger at a 13,865% yield, but off its best level of 13,83%. The longer-dated R153 bond was 3,5 points firmer at a 13,985% yield. The Eskom 168 bond was last quoted at a 14,165% yield from 14,20% at Friday’s close.
The rand, meanwhile, gained over 1,5c against the dollar on Monday at the official close after the US unit lost further ground to the deutschemark and investment banks in London sold off long dollar positions. At 4pm the local unit was quoted at R4,6655 to the dollar from Friday’s close of R4,6815. It traded between bids of R4,6625 and R4,6760 during the day.
BUSINESS BRIEFS
SABC DOWN BY A THIRD
THE SABC has cut its staff by almost a third since the beginning of this year, Broadcasting Minister Jay Naidoo told Parliament. He said more than 1 200 people, including 276 managers, 527 broadcasters, 311 clerical staff and 161 technicians had been retrenched or taken early retirement.
LIBERTY BUYS GUARD BANK
LIBERTY Life Group has acquired 100% of Guard Bank by buying First National Bank’s 50% stake in the joint venture for R290-million. The FNB shares, held by its sunsidiary Firstcorp Investment Company, will by financed by the issue of 2-million new shares at R145 each, effective from Tuesday. Liberty shares lost 50c to R134 on the JSE on Monday.
ELLERINES WELL FURNISHED
FURNITURE retailer Ellerines Group has reported a 19% rise in earnings for the year to end August, as new stores boosted the bottom line, chairman and MD Eris Ellerine said on Monday. Earnings increased to 210,5c a share from the previous year’s 176,9c. A final dividend of 39,2c a share was declared for a total for the year of 70,2c.
FOREIGN INVESTMENT
FOREIGNERS were net buyers of R185,7-million worth of equities on the Johannesburg Stock Exchange last week. The total was achieved through share sales totalling R1,10-billion against purchases totalling R1,29-billion. Non-residents have been net buyers of R19,44-billion worth of JSE shares so far this year.
TOURIST NUMBERS DROP
The number of tourists entering SA though international airports in August fell 5% compared to the same month last year. The Central Statistical Service said 101 085 foreign travellers arrived in SA in August, 71% of whom were on holiday and 17% on business.