/ 5 November 1997

JSE ends slightly firmer

WEDNESDAY, 5.15PM:

THE Johannesburg Stock Exchange moved moderately higher today. The all share index closed on 6781, up 31 points. The financial index was 103 points firmer at 10 026 while the industrial index climbed 15 points to close on 8335. The gold index was just one point stronger at 898.

The rand was slightly firmer against the dollar, at R4,8200.

Bonds finished the day stronger, but trade was subdued in anticipation of the bond options close-out on Thursday. The R150 was six basis points firmer at a 14,52% yield, and the R153 bond was at a 14,605% yield — up 4,5 basis points.

TUESDAY, 5.15PM:

MONDAY’S brisk climb on Wall Street failed to bolster the JSE as expected, largely due to nervousness in European markets following yet another Hong Kong setback. But the JSE did end slightly firmer, and at the close of trade today, the all share index was up 20 points at 6750, the financial index climbed 38 to 9923 and the industrial index was slightly higher at 8320 — up 32 points.

Bonds ended weaker after the release of a Union Bank of Switzerland report saying that the rand was overvalued, causing the currency to lose four cents against the dollar. A similar Union Bank last year began the disastrous 1996 run on the rand. Although local dealers disagree wit hthe Swiss verdict, they expect the rand to slide further today. At 16:22pm the R150 long government bond was at a 14,575% yield — down 15,5 basis points from yesterday’s close. The R153 bond was 15,5 basis points weaker at a 14,645% yield.

The all gold index slipped 2 points to end on 897.