/ 30 May 2005

JSE higher in quiet trade

The JSE Securities Exchange continued to break new ground on Monday, led by heavyweight resources stocks. However, with markets in the United Kingdom and United States closed, the gains came on extremely light volumes.

By 11.51am, the all share index added 0,71%. Resources rallied 1,23%, the gold mining index jumped 2,9% and the platinum mining index climbed 0,53%.

Industrials and financials firmed 0,49% and 0,3% respectively, while the banks index was 0,22% better.

The rand was quoted at 6,63 per dollar from 6,59 when the JSE closed on Friday, while gold was quoted at $419,65 a troy ounce from $418/oz at the JSE’s last close.

“The market is very quiet, with America and London closed. It is picking up, but not on big volume,” a dealer said.

“Resources are looking good, following last week’s trend — sentiment is still positive,” he commented.

He added that gold stocks were very strong on the back of the bullion price, which picked up to $420/oz.

US markets are closed for Memorial Day, while it is a bank holiday in the UK.

In morning trade, diversified resources group Anglo American gained 90 cents to R160,10. BHP Billiton jumped 2,03% or R1,60 to R80,40.

Kumba climbed 1,29% or 85 cents to R66,85 and petrochemicals group Sasol was R1,05 stronger at R170,05.

AngloGold Ashanti advanced 3,13% or R6,80 to R223,80, Harmony surged 3,55% or R1,75 to R51 and Gold Fields leaped 2,06% or R1,50 to R74,35.

DRDGold rocketed 8,82% or 60 cents to R7,40. Randgold soared 8% or 80 cents to R10,80.

AngloPlat was up two rand to R287 and Impala improved two rand to R580.

Industrials to gain ground included London-listed brewer SABMiller, which was 1,09% or R1,10 higher at R102,05.

Swiss-listed luxury goods group Richemont climbed 11 cents to R20,60.

Media group Naspers strengthened 2,16% or R1,90 to R89,90, while telecoms group Telkom ticked up 90 cents to R113,20.

Mittal Steel was up 1,58% or 80 cents at R51,30.

Retailer Foschini, however, fell 35 cents to R37,90.

Technology group Altech was 3,53% or R1,50 lower at R41, which was not unexpected as it went ex-dividend of 174 cents per share.

Cement producer PPC, which went ex-interim dividend of 260 cents per share, eased 75 cents to R223.

On the financial front, investment trust Remgro rallied 1,95% or two rand to a best ever R104,50.

Financial services group Sanlam was 10 cents stronger at R11,49.

FirstRand firmed nine cents to R13,95, while Absa was five cents in the black at R81,80.

Before the opening, Absa reported a 22% increase in headline earnings per share (HEPS) to 841 cents for the year to March from 688 cents for the prior year.

A final dividend of 200 cents per share was declared, bringing the total dividend for the year to 295 cents per share — 62,1% higher than the 182 cents paid in respect of the 2004 financial year.

According to I-Net Bridge consensus forecasts, Absa was expected to report HEPS of 807 cents per share and a dividend of 275 cents per share.

Investment bank PSG tumbled 2,96% or 25 cents to R8,20. – I-Net Bridge