The JSE Securities Exchange South Africa (JSE) opened in positive territory on Tuesday, buoyed by heavyweight resources counters. This was after Iraq war jitters saw the gold price soar above the $375 an ounce level for the first time since November 1996.
At 0920, the all share index was up 0,38%. Resources rallied 0,84%, with the gold mining index gaining 2,06%. With the platinum price at a 23-year high, the platinum mining index was up 0,83%. Financials were 0,28% firmer. On the downside, the indi-25 dipped 0,32%, while the IT index was 0,60% weaker.
The rand was trading at 8,4650 to the dollar from 8,5680 when the JSE closed on Monday, while gold was quoted at $375,60 an ounce, up over $5 from the JSE’s last close.
“We’ve seen some strength in gold and platinum shares,” a dealer said.
She added, however, that platinum counters hadn’t really taken off despite the stronger platinum price. She said that while the platinum price had been running, the rand was also stronger, which had pared gains.
At 0938, Gold Fields (GFI) was up 2,09% or R2,30 at R112,30. AngloGold
(ANG) was R2,75 stronger at R301 and Harmony (HAR) was up 1,36% or R1,80 at R133,80.
Impala Platinum (IMP) was up three rand at R603 and Northam (NHM) jumped 3,20% or 59 cents to R19. AngloPlat (AMS), however, was R1,40 in the red at R332,60.
London-listed diversified resources group Anglo American (AGL) had added R1,10 to R121,70 and BHP Billiton (BIL) was 1,49% or 60 cents better at R41.
Shares to decline in early trade included Swiss-listed luxury goods group Richemont (RCH), which shed 11 cents to R14,35. London-listed beverages group SABMiller (SAB) was down 25 cents to R54,75.
The dealer said for the most part the market was flattish. US futures were a bit weaker which, together with the firmer currency, was likely to weigh on some of the dual-listed stocks.
On the other hand, the stronger rand could help some of the financials during the day. – I-Net-Bridge