/ 28 November 1997

Black Friday on the JSE

FRIDAY, 5.30PM:

IT was a bad Friday at the JSE, as the disappointing money supply and credit extension figures from the Reserve Bank (see below) helped drive the JSE southwards, and the gold price remained at low levels. The all gold index fell 30 points to 727 — its worst level in14 years.

The JSE all share index dropped 53 points to 6326, the industrial index slid 62 points to 7712 and the financial index shed 63 points to 10 091.

Despite the bad economic news the rand was fairly stable, trading at R4,8560 to the dollar from Thursday’s price of R4,8525. Bonds ended firmer. The R150 firmed three points to a 14,25% yield, while the R153 climbed 2,5 basis points to a 14,325% yield.

FRIDAY, 10.30AM:

THE Johannesburg Stock Exchange struggled without direction on Thursday, with little buying activity despite turnover of R1,1-billion, which was dominated by a few large deals in selected stocks.

The only positive note in the lethargic day was gold shares managing to hold their own after the punishment they took the previous day when the bullion price fell below $300/oz. The gold index managed to add two points to end the day on 757 points. Industrials managed to claw up 14 points to close at 7 785. Only financials recorded real gains, with the index climbing 125 points to end on 10 153. The all share index closed 34 points up at 6 379.