The JSE Securities Exchange was firmer in noon trade on Tuesday after a stock specific morning. The bourse’s gains came despite a stronger rand.
By 11.56am, the all share index was up 0,45%. Resources rallied 0,77%, with the gold and platinum mining indices gaining 1,06% and 0,99% respectively. The financial index firmed 0,48%, the banks index climbed 0,55% and the all share industrial index strengthened 0,14%.
The rand was quoted at 5,84 per dollar from 5,88 when the JSE closed on Monday, while gold was quoted at $435,40 a troy ounce from $433,20/oz at the JSE’s last close.
“The market is very order driven at the moment. Moves are stock specific and there are no clear trends,” a dealer said.
He added that the JSE was up despite the fact the rand was quite a bit stronger. World markets also had little to offer in the way of upward impetus.
“There is quite a bit of volume going through the market,” the dealer said, noting that over R1,7-billion worth of shares had traded.
The main feature of the morning was BHP Billiton, which was 1,65% or R13,8 in the black at R84,90 after trading as low as R81,70 early in the session.
BHP Billiton announced in Australia on Tuesday that it had made a friendly $7,3-billion bid for WMC Resources to counter that of rival Xstrata, which was launched in November.
Xstrata is offering WMC Resources’ shareholders AU$7 cash per share, while BHP Billiton is offering AU$7,85.
The dealer expressed surprise at the strength in BHP Billiton’s shares.
“Some guys reckon they are overpaying for WMC, but the share has gone positive despite a stronger rand. There must be big buying orders taking it up,”
he commented.
Petrochemicals group Sasol perked up 1,8% or R2,55 to R144,55, helped by the high oil price.
Gold miner Harmony leaped 2,46% or R1,20 to R50, AngloGold Ashanti added 1,22% or R2,64 to R219 and Gold Fields gained 49 cents to R71, helped by the buoyant bullion price.
Impala Platinum improved R2,50 to R491,50 and AngloPlat advanced 1,78% or R4 to R229.
London-listed diversified resources group Anglo American, however, weakened R1 to R144. Kumba surrendered 36 cents to R70,70.
Swiss-listed luxury goods group Richemont dipped five cents to R19,10 and pulp and paper producer Sappi was 1,05% or 85 cents softer at R80,35.
Steel producer Ispat Iscor shed 49 cents to R63,50.
Cellular network operator MTN group gave up 21 cents to 48.90 rand, but Telkom ticked up 40 cents to R111.
Services group Bidvest strengthened 1,4% or R1,01 to R73 and food group Tongaat roared ahead 2,37% or 45 cents to a three-year high of R63,75.
Furniture group Steinhoff bounced 1,96% or 26 cents to R13,55.
On the financial front, investment trust VenFin rocketed 5,04% or R1,30 to R27,10. It earlier traded at R27,50 — its highest since September 2000.
After the close on Monday, VenFin reported a 34,75% increase in net asset value per share to R38,81 from R28,80 at the end of June.
Banking group Nedcor climbed 1,21% or 98 cents to R82 and Absa added 1,12% or 80 cents to R81,30.
Financial services group Sage, however, dived 4,62% or nine cents to R1,86. – I-Net Bridge