/ 11 September 2002

JSE reverses gains on gold stocks

The South African bourse edged higher at the open on Wednesday, led by miner Anglo American, before slipping into negative territory amid jitters over the first anniversary of the September 11 attacks.

Anglo was a percent or 145 cents higher at R135,25 at 0800 GMT, off an earlier high of R137,75, after reporting better-than-expected half-year results on Tuesday.

The all-share index was 0,53% or 52,3 points lower at 9,815 points at 0800 GMT. The value of trades was about R200-million.

”There’s a little bit of uncertainty over September 11 come in. The guys are a bit cautious. Also gold has come off a bit,” said a trader.

South Africa’s second-largest gold producer Gold Fields shed 4,2% or 600 cents to R136. Number one AngloGold lost 3,3% or R18 to R527, and Harmony gave up 2,9% to R166,95.

Spot gold was trading at $316,85/7,35 an ounce at 0649 GMT, from New York’s close of $317,90/318,40, moving away from recent six-week highs. But the precious metal is seen supported in the short term by fears of conflict in Iraq.

Synthetic fuel producer Sasol also slipped as oil prices stabilised after surging on Tuesday following a US Navy warning of possible attacks on tankers in the Gulf.

Sasol gave up 1,2% or 140 cents to R115,40. – Reuters