The JSE Securities Exchange South Africa (JSE) was drifting in the red in noon trade on Friday, with heavyweight resources stocks dragged down by a stronger rand. Lack of buying interest also weighed on the local bourse, dealers said.
By 11.50am, the all-share index was 0,62% weaker. Resources retreated 1,08%, the gold mining index slid 1,6% and the platinum mining index lost 0,35%. Industrials and financials fell 0,3% and 0,28% respectively, while the banks index was 0,72% softer.
The rand was quoted at R6,52 per dollar from R6,59 when the JSE closed on Thursday, while gold was quoted at $393,40 an ounce from $394,10/oz at the JSE’s last close.
“The market is very quiet today. Volumes are not very good, which is attributable to it being Friday, and there is not a lot of interest in the market,” a dealer said.
He added that resources were leading the JSE lower.
“The rand is quite a bit stronger and that has impacted heavily on resources.”
He said that while there might be a bit of profit taking and position squaring ahead of the weekend, the futures market was very quiet. He therefore did not think that this was playing a major role.
On the JSE’s downside, London-listed diversified resources group Anglo American lost 1,23% or R1,71 to R137,50 and BHP Billiton slid 1,09% or 61 cents to R55,30.
Gold Fields slumped 2,58% or two rand to R75,50, Harmony was off 1,73% or R1,37 at R78,02 and AngloGold Ashanti surrendered R1,63 to R232.
AngloPlat eased R2,25 to R241,50.
On the industrial market, Swiss-listed luxury goods group Richemont was 1,05% or 18 cents lower at R16,92.
London-listed beverages group SABMiller shed 73 cents to R78,50 and pulp and paper producer Sappi was 90 cents softer at R91,10.
Steel producer Iscor weakened 1,88% or 65 cents to R33,85.
Services group Bidvest plunged 1,62% or 85 cents to R51,65 and food group Tiger Brands gave up 1,65% or R1,49 to R89,01.
Telcos bucked the weaker trend, with MTN Group soaring 2,96% or 85 cents to R29,60. Telkom rallied 1,74% or R1,35 to R79,05.
Retailer Edcon leaped 1,81% or R2,50 to R140,50.
On the financial front, Sanlam bounced 1,74% or 15 cents to R8,75 and Old Mutual rose six cents to R11,43.
Niche banking group Investec plc picked up 1,67% or two rand to R122.
On Thursday, Investec reported headline earnings per share for the 12 months ended March amounted to 103,4 United Kingdom pence — a 15,4% increase on the previous year’s earnings of 89,6 pence per share.
Absa added 20 cents to R46,45.
FirstRand, however, fell 1,88% or 19 cents to R9,93 and Nedcor dropped 49 cents to R62,01.
Real estate company Liberty International plc was 1,63% or R1,45 in the red at R87,45. — I-Net Bridge