FRIDAY, 6.00PM:
AFTER performing comparatively dismally for some weeks, for once gold shares on the Johannesburg Stock Exchange outpaced the ever record-setting financials. The market was pushed by renewed confidence in Asia and a record-setting day on Wall Street, as well as confidence in an imminent local interest rate cut.
The all gold index hurtled up 5,75%, or 42,4 points to 780,3, the industrial index gained 69,6 points to 8246,3 and the financial index climbed inexorably 2,05%, or 268,1 points to 13344,2 — its 19th record high this year. The all share index was up 99,5 points to 7095,7.
Shares worth R1,125bn changed hands.
Optimism over the expected lifting of interest rates pushed bonds to their strongest levels since May 1994. At 4.17pm the benchmark R150 government long bond was at a 13,185% yield — 6,5 basis points stronger than on Thursday. The longer-dated R153 was 9,5 basis points stronger at a 13,375% yield.
The rand gained a cent on the dollar on Friday as the gold price moved above $295 an ounce and as SA gilts were snapped up by foreign buyers. The rand also strengthened against the pound, going to R8,1289 from R8,1365 late on Thursday.
At 4pm the rand was at R4,9370-00 to the dollar from a Thursday close of R4,9480-00.
Gold was last quoted at $297,45 an ounce, after a London morning fix of $296,55.