The strength on the global equities front filtered through to the JSE Securities Exchange South Africa (JSE) on Wednesday, with the bourse firmly in the black at midday. Slight weakness in the currency was also lending support to rand-hedge
and resources counters.
At noon the all-share index was 0,69% firmer, the all-share industrial index gained 0,63%, the financial index was 0,77% stronger, the resources index was 0,63% to the good, the gold index was 0,28% higher, the platinum index jumped 1,47% and the banks index was flat.
The rand was trading at R6,96 to the United States dollar from R6,93 when the JSE closed on Tuesday while gold was quoted at $383,35 an ounce from $384,75/oz at the JSE’s previous close.
“Equities are enjoying a firmer day in general. The rand weakened a tad in morning trade and this is supporting dual-listed and resources counters. The positive close in the US overnight and the strong trend on Asian and European markets today is also pushing local stocks higher,” a dealer said.
She added that volumes were slightly better than at midday on Tuesday, although volumes had been on the low side in recent days.
Diversified resources counters dominated the upside on the all-share index, with Anglo American adding R1,15 to R138,65 while BHP Billiton ticked up 25 cents to R53,50.
BHP Billiton had initially traded weaker at the opening on the back of disappointing results. The company reported a 9,4% decline in attributable profit to $518-million for the September quarter. Analysts had expected attributable profit to decline 5% to $555 million.
Basic earnings per share declined 9,8% to 8,3 US cents from 9,2 US cents previously.
Luxury goods group Richemont added 4 cents to R16,01 rand while Remgro jumped 2,14% or R1,34 to R63,90.
Other counters adding to the upside were Sanlam, which picked up 2,79% or 23 cents to R8,48, while Gold Fields defied the weaker trend among gold stocks and gained 1,21% or R1,24 to R103,50.
Platinum counters were shining, with the price of the precious metal touching a new 23-year high earlier in the day of $752,50 an ounce.
AngloPlat added 2,09% or R6,00 to R293,00 and Impala was 1,14% or R7,00 stronger at R623,00.
Other advancers included Old Mutual, which was 1,28% or 15 cents up at R11,90, MTN Group added 2,25% or 49 cents to R22,30 and SABMiller ticked up 45 cents to R58,25.
AngloGold weighed on the downside of the all-share index, with the share losing R1,50 to R271,50, followed by Nedcor, which bucked the overall positive trend on the banking index and lost 1,77% or R1,21 to R66,99. — I-Net Bridge