A strong bullion price saw gold stocks continue to find favour on the JSE Securities Exchange South Africa (JSE) in noon trade on Tuesday in a market that was up overall in line with its global counterparts. However, volumes were dismal, with less than R150-million-worth of shares changing hands.
At 11.57am, the all-share and all-share industrial indices were 0,6% and 0,58% stronger respectively. Resources climbed 0,79%, with the gold mining index jumping 1,77%. The platinum mining index, however, eased 0,52%. Financials firmed 0,27% in morning trade, while the banks index was 0,41% in the black.
The rand was trading at R6,65 per dollar from R6,71 when the JSE closed on Monday, while gold was quoted at $415,57 an ounce from $413,15.
Early on Monday afternoon, gold broke above the key $415/oz level for the first time since February 1996.
“Gold stocks are again the main gainer and we are getting a bit of strength from international markets, but trade is extremely thin and there seems to be a lack of interest, particularly on the sell side,” a dealer commented.
Gold miner AngloGold added 1,87% or R5,80 to R316,40, Gold Fields was up 1,74% or R1,60 at R93,80 and Harmony was R1,01 higher at R109.
Junior miner Durban Roodeport Deep surged 3,85% or 75 cents to R20,25.
The gold mining index was up 2,61% on Monday.
Other shares to gain on Tuesday included diversified miner BHP Billiton, which was 1,56% or 89 cents better at R58,03 after gaining ground in the United Kingdom and Australia. BHP Billiton’s intraday high of R58,80 was its best since May 2002.
Synthetic fuels group Sasol was 80 cents stronger at R95,80.
Cellular network operator MTN Group leaped 2,03% or 55 cents to R27,65 and telecommunications utility Telkom soared 2,92% or two rand to R70,50 after earlier touching R70,80 — a fresh best level since its March listing.
Steel giant Iscor was up 18 cents at R28,40 after trading at a best level since its November 2001 unbundling of R29 early in the session.
On the financial front, banking group Absa was 1,32% or 55 cents firmer at R42,25 and Nedcor notched up 1,53% or 90 cents to R42,25.
On the JSE’s downside, AngloPlat slipped 1,37% or four rand to R288, but only 360 shares had traded in four deals.
London-listed financial services group Old Mutual fell eight cents to R11,10 and beverages group SABMiller dipped 10 cents to R68,50. — I-Net Bridge