The JSE Securities Exchange (JSE) was firmer in noon trade on Monday on the back of a weaker rand, despite the dollar remaining under pressure with ongoing concerns over the United States economy, particularly its huge deficits.
At 12.15pm, the all-share index was up 0,19%, while the industrial index was down 0,29%. Resources gained 0,10%, while the gold-mining index was up 1,15%.
The financial index was up 1,18%, while the banks index added 1,17%. The platinum index was up 1,85%.
The rand was quoted at R6,1726 per dollar, compared with R6,12 when the JSE closed on Friday, while gold was quoted at $433,05 a troy ounce from $431,65/oz at the JSE’s last close.
“The market is stronger mainly on rand weakness. But we’ve seen a very mixed kind of market. The market started higher and then came off a bit on profit taking before rebounding on the weaker rand. But all in all, it hasn’t been the most active market.
“In fact, it’s been a rather slow day — although Sappi has been under some pressure this morning,” a local equities trader said.
Shares in South African pulp and paper group Sappi took a tumble on the JSE South Africa on Monday, with the share price down 6,8% by late morning.
At 12.15pm, Sappi was quoted at R80,70 — down R7,30, or 8,3%, from the previous close of R88. A total of 763 680 shares, valued at R64,5-million, changed hands in 331 deals.
Although Sappi’s results were better than expected, with headline earnings per share coming in at 301 cents for the year in rand terms, the market chose to focus on predictions for a tough first quarter.
In the resources sector, Anglo American was down 140 cents or 1% at R138,60, and BHP Billiton lost 40 cents or 0,62% to R64,45.
In the industrial sector, SABMiller gained 71 cents or 0,78% to R92,01, Richemont added five cents to R18,10, and Bidvest lost 20 cents or 0,27% to R74.
The most active stock in the sector was Sasol, which added 110 cents or 0,89% to R124,80.
In the gold sector, AngloGold Ashanti was quoted at R236, up 3,42% or 780 cents from the stock’s previous close, Gold Fields was 30 cents or 0,35% higher at R85,30 and Harmony was quoted at R70, unchanged from Friday’s close.
World number-one platinum miner Anglo Platinum was last quoted at R232,50, up R4,30 or 1,88% from the stock’s Friday close.
In early trade on Monday, Sun International, RMB Holdings and Primedia all touched long-term highs.
In the financial sector, Old Mutual was 28 cents higher at R13,58, Absa was up 25 cents or 0,37% at R68,15, Sanlam was quoted 30 cents or 2,68% higher at R11,50, and Standard Bank was up 100 cents or 1,75% at R58.
The Dow Jones Industrial Average rallied for the third straight session on Friday, ending up 72,78 points at 10 387,54, AFX said. The benchmark index gained 3,6%, its best weekly performance in more than a year and a half.
The Nasdaq Composite Index climbed 15,31 points, to 2 038,94. The tech-rich index gained every day this week to rise 3,2%.
The S&P 500 Index rose for the ninth session in a row to end the week at a two-and-a-half-year high. The broad gauge rose 4,5 points, to 1 166,17, putting a 3,2% gain on the week.
The Nikkei 225 Stock Average fell for the first time in four trading days, closing down 77,94 points or 0,7% at 10 983,83. — I-Net Bridge