/ 4 March 2005

Weaker rand lifts JSE to new high

The JSE Securities Exchange rallied to yet another record high on Friday, boosted by a weaker rand. Lack of sellers further helped the local bourse.

By 12.02pm, the all share index advanced 0,43% to 13 598,83 after earlier trading at a best ever 13 626,86. Industrials were up 0,22%.

Resources rose 0,43%, with the gold and platinum mining indices gaining 0,93% and 1,33% respectively. Financials were 0,72% firmer and the banks index was 0,32% in the black.

The rand was quoted at 5,98 per dollar from 5,94 when the JSE closed on Thursday, while gold was quoted at $429,40 a troy ounce from $430,25/oz at the JSE’s last close.

“It is purely a rand scenario,” a dealer said, “We are seeing good buying coming out of Europe and the US, which is being exacerbated by locals as well.”

He continued that strength in rand hedge stocks was spilling over to the rest of the market.

The dealer noted that volumes were fairly light, which was also helping the market as buyers were forced to pay a premium for stock.

On the JSE’s upside, AngloGold Ashanti advanced 2,26% or R4,90 to R221,89.

AngloPlat added 2,92% or R6,50 to R229.

Kumba soared 3,38% or R2,25 to a lifetime high of R68,75.

Petrochemicals group Sasol was 95 cents stronger at R143,25.

Pulp and paper producer Sappi strengthened 2,9% or R2,30 to R81,70 and Swiss-listed luxury goods group Richemont climbed nine cents to R19,04. Investment trust Remgro rose 1,19% or R1,10 to R93,20.

Richemont announced on Friday that it has marginally reduced its interest in British American Tobacco (BAT) through the indirect sale of 12 854-million BAT shares to Remgro.

London-listed brewer SABMiller was up 75 cents at R97,80.

Telecoms group Telkom, however, lost 1,41% or R1,61 to R112,50, but MTN Group gave up 25 cents to R47,75.

Financials to firm included Sanlam, which bounced 1,07% or 14 cents to R13,27. Old Mutual was up 1,21% or 19 cents to R15,90.

Standard Bank inched up 20 cents to R64,20 and FirstRand gained 12 cents to R14,07.

Nedcor, however, weakened 45 cents to R81,20 and Absa was 21 cents in the red at R79. – I-Net Bridge