The JSE Securities Exchange South Africa was flat in noon trade on Wednesday, having surrendered early gains due to profit taking and weakness in European markets. Volumes were good, despite a lack of fresh news to draw players into the market.
At 11h54, the all share and all share industrial indices were both flat.
Resources were a marginal 0,11% firmer, with the gold and platinum mining indices up 1,38% and 1,17% respectively. Financials were off 0,16%, but the banks index was 0,12% better.
The rand was quoted at 6,53 per dollar, little changed from when the JSE closed on Tuesday, while gold was quoted at $418,15 an ounce from $415,78/oz at the JSE’s last close.
A dealer said that while the JSE had come off its highs seen in early trade, it lacked real direction.
“The gold price is pretty solid and the rand is stable. There might be a bit of negativity coming in from overseas as well as a bit of profit taking coming in,” he commented.
He noted that while gold stocks were still strong, they had surrendered some of their earlier gains. Gold ADRs had been in demand in the US overnight due to the high gold price.
Harmony was nevertheless 1,74% or R1,50 stronger at R87,50.
The National Union of Mineworkers said on Wednesday that it has called off its strike action, after the union and Harmony reached an agreement late on Tuesday.
Gold Fields gained 20 cents to R88,70 and AngloGold Ashanti surged 2,27% or R5,50 to R247,50.
AngloPlat advanced 2,26% or six rand to R271 and Impala picked up three rand to R525.
London-listed diversified miner Anglo American was 20 cents stronger at R152,80, but BHP Billiton was down 50 cents at R68,70.
The dealer said that broker UBS on Wednesday downgraded Anglo and Billiton, as well as UK-listed Rio Tinto to ‘neutral’ from ‘buy’.
Petrochemicals group Sasol was one rand in the red at R122.
On the industrial market, packaging group Nampak jumped 1,39% or 20 cents to R14,60.
Cellular network operator MTN Group leaped 2,58% or 80 cents to R31,80 and Telkom climbed 60 cents to R76,60.
Retailer Edcon rallied 1,92% or R3,65 to R194,20 and Truworths rose 1,18% or 15 cents to R12,85.
However, London-listed brewer SABMiller slipped 1,29% or R1,14 to R87,56 and pulp and paper producer Sappi was 1,04% or 99 cents softer at R94.
Retailer Shoprite shed 1,3% or 14 cents to R10,61 and furniture group Steinhoff tumbled 2,13% or 22 cents to R10,10. Transport and logistics group Imperial lost 1,08% or 90 cents to R82,70.
Financials to firm included banking group Nedcor, which was 1,16% or 70 cents stronger at R61,20. First Rand ticked up six cents to R11,96 and niche banking group Investec was R1,10 in the black at R129,75.
Standard Bank, however, eased 33 cents to R51,20.
London-listed financial services group Old Mutual fell 1.24% or 17 cents to R13,58. – I-Net Bridge