The JSE was firmer in noon trade on Wednesday, despite basket selling by futures players and a slightly stronger rand. Heavyweight dual-listed stocks led the market’s upside.
By 11.59am, the all share and all share industrial indices added 0,27% and 0,44% respectively. Financials firmed 0,36% and the banks index was 0,79% better.
Resources were flattish (+0.04%) and the gold mining index gained 1,21%, but the platinum mining index weakened 0,56%.
The rand was bid at 6,35 per dollar from 6,37 when the JSE closed on Tuesday, while gold was quoted at $447,90 a troy ounce from $445,50/oz at the JSE’s last close.
“It is strange that the market is up. I’m seeing a lot of baskets on the offer side and the rand is stronger, so it should be down.”
He added, however, that some buying was coming into Anglo American and BHP Billiton in London and this might be having a contagion effect locally.
Swiss-listed luxury goods group Richemont was also stronger in expectations that it would report positive sales numbers, which are expected out on Thursday morning.
Gold shares were benefiting from the higher bullion price.
In morning trade, Anglo added 1,2% or R1,99 to R167,75 and Billiton was 64 cents better at R96,15.
Richemont rose 22 cents to R25,15.
Gold Fields firmed 1,5% or R1,12 to R75,72, Harmony was 1,52% or 81 cents higher at R54,26. AngloGold Ashanti was up R1,60 at R247,10.
Other advancers included furniture group Steinhoff, which was 3,01% or 54 cents stronger at R18,49 after earlier trading at a record high of R19,10.
Retailer Woolies climbed 1,69% or 21 cents to R12,60.
Cellular network operator MTN Group gained 41 cents to R48,20. The dealer said that MTN Group was benefiting from news that a deal which would see Transnet sell its 5% stake in MTN to Umthunzi Telecoms Consortium — a black empowerment company — had been reversed because the cancellation of the deal prevented a possible share overhang.
Banking group FirstRand rallied 1,39% or 23 cents to R16,73 and Standard Bank climbed 47 cents to R70,47. Nedbank was 1,11% or R1,01 in the black at R92,41.
Investment company Remgro rose one rand to R113,80.
On the JSE’s downside, petrochemicals group Sasol slumped 3,1% or seven rand to R219.
AngloPlat slipped three rand to R311 and Impala dipped R2,49 to R695,50.
Iron ore miner Kumba was down 1,38% or R1,20 at R85,80.
Telkom surrendered on rand to R125,30.
London-listed financial services group Old Mutual was nine cents lower at R15,93 and Sanlam eased six cents to R13,55.
Metropolitan Holdings tumbled 2,15% or 25 cents to R11,40 after it reported a 45% rise in its fully diluted core headline earnings per share for the six months to end-June 2005 to 41 cents from 28,36 cents a year earlier. Metropolitan declared an interim dividend of 24 cents per share, representing a 17% improvement on the 20,5 cents declared at the halfway point in 2004.
Embedded value per share increased 12% (annualised) from 1 225 cents to 1 296 cents. Total return on embedded value was 18% (annualised), improved from the 5% recorded the previous year. – I-Net Bridge