/ 18 February 2003

JSE opens flat in thin trade

The JSE Securities Exchange SA (JSE) opened a tad firmer on Tuesday in quiet trade. Gold stocks opened flat after posting big losses on Monday. With the US markets closed on Monday and the gold price and rand steady, there was little direction for the local bourse. US markets were closed on Monday for the Presidents Day Holiday.

At 0915, the all share index and industrial indices were up 0,24% and 0,28% respectively, while the all share financial index was flat at +0,05%. The resources index was up 0,38% and the platinum mining index gained 0,22%. Gold mining was flat to down at (-0,03%). The IT index was unchanged.

The rand was trading at 8,3751 to the dollar from 8,3906 when the JSE closed on Monday, while gold was quoted at $346,60 an ounce from $346,50 an ounce at the JSE’s last close.

A dealer said the opening on the JSE had been very quiet although fairly buoyant. She said that the bourse was lacking direction, with gold little moved and the rand stable.

“The CPI later this morning will be watched, although if it is within expectations it will not affect the market. There may be some better action this afternoon when the US market opens,” she said.

On the upside of the market London-listed diversified resources group Anglo American (AGL) added 75 cents to R121,50. BHP Billiton (BIL) was up 30 cents to R41,60. Kumba Resources (KMB) was down 1,23% or 40 cents at R32,05.

On the gold mining index AngloGold (AMS) was down nearly one percent or R2,60 at R264,40. Harmony (HAR), however, was up 60 cents to R123 and Gold Fields (GFI) gained 31 cents to R105. Bidvest (BVT) was up 134% or 56 cents to R42,35. Bidvest plc, the 80,8% held subsidiary of South African industrial group Bidvest (BVT) on Tuesday reported a 21% increase in headline earnings to 14,1-million sterling in the six months ended December 31 from 11,6-million sterling the year before.

This translated into headline earnings per share of 7,15 pence from 5,90 pence the same period a year ago. An interim dividend of 2,2 pence per share was declared — up 22% from the previous 1,8 pence.

A trader said there had been interest in Aspen after their results released on Monday, although the share price was unmoved at R7,30.

Despite a challenging environment, Aspen Pharmacare (APN), the country’s largest producer of generic medicines and a major supplier of branded pharmaceutical and healthcare products, lifted headline earnings per share by 22% from 29,6 cents to 36,2 cents for the six months to the end of December.

Dow Jones Newswires reports that the US Presidents Day holiday kept European stock volumes light. European stocks were higher due to the political standoff generated over the Iraq war on an inconclusive Iraq weapons report.

In Tokyo, the Nikkei closed down 0,9% at 8,692.97 as core exporter stocks led the decline on the yen’s firmer tone. – I-Net-Bridge