The JSE Securities Exchange opened marginally firmer on Tuesday, against the backdrop of strong world markets. Advancers outnumbered decliners, but for the most part gains were relatively modest.
By 9.20am, the all share index ticked up 0,14%. The financial and banks indices firmed 0,21% and 0,13% respectively. Resources rose 0,14%, the gold mining index gained 0,44% and the platinum mining index jumped 0,99%.
The all share industrial index inched 0,07% higher.
The rand was quoted at 6,38 per dollar from 6,37 when the JSE closed on Monday, while gold was quoted at $414,88 an ounce from $418,70/oz at the JSE’s last close.
“I think the lower oil price and softer commodity prices should keep retailers and banks underpinned,” a dealer said.
He added that since the opening, there had been light buying across the board.
“The rand is slightly bearish and that is underpinning the market as a whole,” he continued, explaining that the local unit had come off its best levels seen on Monday, when it traded at 6.34 per dollar – its strongest since August 12.
By 9.38am, the all share index was up 0.35%.
In early trade, London-listed diversified miner Anglo American added 65 cents to R145,30.
Gold Fields gained 1,63% or R1,50 to R93,50 and Harmony was 1,62% or R1,22 higher at R76,70. Harmony and Gold Fields dominated trade on Monday after the former announced a hostile bid for the latter.
AngloGold Ashanti shed two rand to R236,50.
Impala Platinum improved 1,18% or six rand to R516 and AngloPlat advanced 1,34% or R3,40 to R257,40.
Swiss-listed luxury goods group Richemont climbed eight cents to R18,05 and services group Bidvest strengthened 1,55% or 99 cents to R64,99.
Retailer Pick ‘n Pay perked up 1,45% or 30 cents to R21 after it reported a 17,1% increase in its headline earnings per share for the six months ended August 31 to 52,4 cents from 44,73 cents a year ago.
The group declared an interim dividend of 19,8 cents, up 20% from 16,5 cents in 2003.
Telecoms group Telkom leaped 1,22% or one rand to R83 and cellular network operator MTN Group gained 26 cents to R32,61.
Telkom shares surged 5,4% on Monday after the group said in a trading update that it expects an increase of between 60%-80% in basic earnings per share and 50%-70% in headline earnings per share for the six month period ending on 30 September 2004 from the comparable period in 2003.
London-listed brewer SABMiller eased 25 cents to R87,15.
Financial services group Sanlam was 1,78% or 19 cents in the black at R10,84.
Banking group FirstRand firmed seven cents to R11,97 and Standard Bank was 20 cents better at R50,80.
AFX reports that US stocks closed near their session highs Monday as investors gleaned some comfort from a retreat in oil prices from record levels, but 3M’s weaker-than-expected third quarter results cast a shadow on the outlook for corporate earnings.
The Dow Jones Industrial Average was up 22,94 points, at 9 956,32, reclaiming all the ground lost as the blue-chip barometer touched an early low of 9 861,63.
The Nasdaq Composite Index rose 25,02 points, to 1 936,52, while the S&P 500 index climbed 5,82 points, to 1 114,02. – I-Net Bridge