The JSE Securities Exchange South Africa (JSE) was in positive territory at midday on Monday, taking its cue from stronger European markets. Telecommunications group Telkom was the morning’s most-traded stock after it reported superb results just before the opening.
At 12.05pm, the all-share index was up 0,3%. The all-share industrial and financial indices were 0,65% and 0,64% firmer respectively, and the banks index was 0,49% better. Resources dipped 0,14%, with the gold mining index surrendering 1,44% and the platinum mining index easing 0,22%.
The rand was trading at R6,56 per dollar from R6,63 when the JSE closed on Friday, while gold was quoted at $393,60/oz from $395,50 at the JSE’s last close.
“The JSE is looking good. World markets have picked up, which is helping our cause, and United States futures are also looking strong,” a dealer said.
He continued that Telkom was the main feature of the morning.
More than R100-million-worth of Telkom shares changed hands, with the counter touching a new all-time high of R61,50 during trade.
“Telkom’s results were fantastic. They were far better than analysts’ expectations,” the dealer commented.
Telkom was last quoted at R60,10, up 3,98% or R2,30.
Before the opening, Telkom reported a 171,1% surge in headline earnings per share to 335,9 cents for the six months ended September 30 from 123,9 cents a year ago. The group declared a once-off interim dividend of 90 cents per share.
Banking group Absa, which also reported a strong set of results before the opening, was unchanged at R40,20.
“Absa’s results were better than expected. It has come off the boil, but it did hit a high of R41.”
This was Absa’s best level in more than two years.
Absa reported that it had lifted headline earnings per share by almost 40% for the six months ended September from 232,5 cents to 324,5 cents.
Remgro rallied 1,16% or 75 cents to R65,35 although the group on Monday morning reported a 0,6% decline in headline earnings per share for the six months to end-September 2003, to 475,3 cents per share from 478,2 cents per share in the year-earlier period. The group declared an interim dividend of 101 cents per share, up 14,8% compared to 88 cents in 2002.
Other shares to climb in morning trade included London-listed diversified resources group Anglo American, which inched up 60 cents to R137,60.
Swiss-listed luxury goods group Richemont was up 10 cents at 15,55 rand, while services group Bidvest soared 2,38% or R1 to R43.
London-listed financial services group Old Mutual bounced 1,51% or 16 cents to R10,76, while Liberty International plc leapt 3,13% or R2,22 to R73,22.
Banking group Nedcor recouped some of last week’s losses and was 3,31% or R2,20 in the black at R68,75.
The group took a pummelling last week after it said in a trading update on Monday that core earnings for the second half of the year to December 31 2003 would be materially lower than analysts’ forecasts.
On the JSE’s downside, AngloGold shed 1,87% or R5,59 to R294,01 and Gold Fields gave up 1,78% or 55 cents to R85,65.
AngloPlat weakened 1,46% or four rand to R270.
Financial services group Sanlam surrendered eight cents to R8,32. — I-Net Bridge