The JSE Securities Exchange South Africa (JSE) was mixed in noon trade on Wednesday after a lacklustre morning’s trade. Weakness in heavyweight resources stocks kept the overall index in the red, despite the fact that advancers slightly outpaced decliners.
By 11.46am, the all-share index was down 0,23%. Resources retreated 0,76% and the gold and platinum mining indices surrendered 1,44% and 0,67% respectively. The banks index eased 0,36%. Financials were flat (- 0,01%), while the all-share industrial index ticked up 0,23%.
The rand was quoted at R6,61 per dollar from R6,58 when the JSE closed on Tuesday, while gold was quoted at $389,55 an ounce from $391,80/oz at the JSE’s last close.
A dealer said that volumes had been thin, with less than R1-billion-worth of shares changing hands.
“Mining stocks are under pressure in London and locally, even with the weaker rand. They had a good day yesterday [Tuesday] and Deutsche Bank has also revised its targets for mining stocks downwards,” she added.
She said that lower metals prices were adding to the negativity.
While there were some good performers on the industrial market, weakness was also being seen in some of the banking stocks.
London-listed resources group Anglo American fell 1,11% or R1,55 to R138,20, while BHP Billiton dipped 17 cents to R55,25.
Deutsche reduced its price target on Anglo to 1 260 pence from 1 380 pence and on BHP Billiton to 560 pence from 580 pence. It also revised its targets for Rio Tinto and Xstrata.
On the gold mining index, AngloGold tumbled 2,03% or R4,50 to R217, Gold Fields gave up 1,13% or 81 cents to R70,85 and Harmony slid 1,39% or one rand to R71.
Impala Platinum weakened 1,39% or R6,90 to R488.
On the industrial market, telecoms group Telkom was off 1,21% or R1,04 at R84,76 following a phenomenal run the past couple of days after it reported superb results before the opening on Monday.
Cellular network operator MTN Group slipped 14 cents to R31,26 and retailer Edcon was down R1,45 at R144,50.
Pulp and paper producer Sappi was 59 cents softer at R90,51.
However, services group Bidvest surged 3,37% or R1,75 to R53,75 and media group Naspers soared 2,61% or R1,20 to R47,20.
London-listed beverages group SABMiller strengthened 68 cents to R81,50.
Retailer Truworths rallied 1,54% or 15 cents to R9,90 and was the morning’s second-most-active share in value terms.
Financials to firm included London-listed Old Mutual, which rose 10 cents to R11,91. Banking group Nedcor, its subsidiary, picked up 59 cents to R64,39.
Standard Bank, however, shed 39 cents to R42,81 and microlender Abil was 11 cents in the red at R11,49. — I-Net Bridge