/ 27 January 1998

Markets breathe easier

TUESDAY, 5.30PM:

A SOLID day’s trading helped Johannesburg Stock Exchange industrial shares better themselves. Gold stocks fell on weaker bullion prices, but not as much as they could have, said dealers. The positive mood on the markets is probably linked to fewer worries about the Asian economies and a relatively stable Wall Street, despite the sex allegations in Washington. The rally on US bonds helped local gilts and the rand managed to hold its own against the dollar.

The all gold index ended 17,2 points down at 884,8, but off earlier lows. The industrial index climbed 53,8 points to 7 301,1 and the financial index 111,3 points to 10 784,8. The all share index was up 37,7 points at 6 183,8. Turnover was posted at R1,158-billion.

The benchmark R150 government long bondwas quoted at a 13,44% yield — eight basis points stronger than Monday’s close. The day’s range was 13,49% to 13,425%. The longer-dated R153 bond was nine points firmer at 13,53%. The Eskom 168 bond last traded at a 13,65% yield — six basis points stronger.

The rand ended softer against the dollar at R4,9115-30 from R4,9015-45/dlr at Monday’s close, as gold slipped back under $300 per ounce and the dollar recovered. It had traded between bids of R4,8960 and R4,9130.

The gold price was last quoted at $299,85 an ounce from a New York close of $296,75.