/ 24 September 1999

JSE brightens in afternoon trading

ALAN FINLAY, Johannesburg | Thursday 5.30pm.

THE Johannesburg Stock Exchange recovered from what dealers earlier called a general lack of interest ahead of the long weekend, with the markets up 0,30% by close of play.

Friday’s markets are closed for the Heritage Day public holiday.

Afternoon buying left the financial index up 0,40%, industrials up 0,32% and the Alsi-40 strengthening by 0,37%.

A dealer said the market brightened in anticipation of the Dow Jones opening stronger. A cut in the prime lending rate to 15,5% by South Africa’s major banks also boosted afternoon trading. The repo rate fell 15 basis points to 12,60% from 12,75% at today’s tender.

The gold price has continued to firm off the back of the Bank of England offloading 25 tons of the yellow metal on Tuesday. At just after 4pm it was trading at $264,15 to the ounce, up from yesterday’s $263,35. Dealers said this is a good sign that could signal a positive trend in yellow metal.

The rand weakened against the dollar and at 4.10pm had dipped to the R6,05 mark. But the local currency strengthened against the pound and at 4.45pm was trading at R9,90.

Tokyo’s Nikkei lost 3,50% on the day, while the Hang-Seng strengthened slightly, closing the day 0,20% up. By late afternoon New York’s Dow Jones was 0,18% up, but swung its positive trend and just before 5pm was 0,42% down.