The JSE Securities Exchange was weaker at noon on Friday, with a sizzling oil price burning global bourses. Higher bullion price lent sheen to gold stocks, however.
At noon, the all share and all share industrial indices were both down 0,62%. The financial and banks indices had fallen 0,83% and 1,53% respectively.
Resources retreated 0,48% and the platinum index was off 0,75%, but the gold
mining index jumped 2,2%.
The rand was bid at 6,75 per dollar from 6,73 when the JSE closed on Friday, while gold was quoted at $443,25 a troy ounce from $442,15 at the JSE’s last close.
“The states took a smack last night [Thursday] — the Dow was down over 160 points — which has put a dampener on world markets. It’s all on concerns about the inflationary effect of the high oil price on the economy,” a dealer said.
He added, however, that with all commodity prices up in the US on Thursday and the rand slightly softer, resources were surprisingly weak.
The exception was gold stocks, which were up on the back of a higher bullion price and a strong performance by their American Depository Receipts (ADRs) in New York overnight.
In morning trade, petrochemicals group Sasol slumped 2,71% or R4,90 to R175,60 despite the high oil price.
Anglo American lost one rand to R159,50 and BHP Billiton weakened 29 cents to R85,40. Anglo and Billiton were both down in London.
Kumba dropped 3,9% or R2,25 to R55,50.
AngloPlat surrendered R2,35 to R289,15 and Impala was five rand lower at R577.
Gold Fields rallied 2,94% or R2,15 to R75,19, Harmony was 2,14% or R1,20 higher at R57,20 and AngloGOld Ashanti added 1,71% or R4 to R238.
Industrials to decline included Swiss-listed luxury goods group Richemont, which was 20 cents softer at R22,90.
Mittal Steel tumbled 2,05% or 90 cents to R43.
Brand management group Barloworld weakened 1,18% or R1,10 to R92,30 and services group Bidvest surrendered 1,21% or 81 cents to R72,20.
Cellular network operator MTN gave up 1,02% or 47 cents to R45,70.
Retailer Edcon lost 1,54% or R4,50 to R288,55 and Foschini shed 1,38% or 55 cents to R39,35. Massmart was 40 cents weaker at R46.
Media group Naspers was one of a handful of advancers among ndustrials, strengthening 1,24% or R1,09 to R88,11.
London-listed brewer SABMiller inched five cents higher to R105,70.
On the financial front, London-listed Old Mutual leaped 2,55% or 37 cents to R14,89 and short-term insurer Mutual & Federal firmed 1,35% or 30 cents to 22.50 rand.
Health and life insurer Discovery plunged 4,02% or one rand to R23,90 after it said in a trading update that headline earnings and earnings per share for the year ending June were expected to be between 25% and 35% higher than the previous year’s earnings.
Discovery has had a phenomenal run this month and is up around 8% despite this morning’s losses and dealers said that the market had been expecting an even stronger performance from Discovery.
Standard Bank slid 1,92% or R1,24 to R63,25, FirstRand fell 1,26% or 18 cents to R14,12, Nedbank was down 1,68% or R1,30. to R76,10 and Absa eased 53 cents to R81,76.
Investment bank Investec slipped 1,88% or R4,10 to R214 and Investec was 2,12% or R4,49 lower at R207,50.
Investment trust Remgro was 1,79% or R1,90 in the red at R104. – I-Net Bridge