The JSE roared to another record high on Thursday morning, with higher commodity prices and a softer rand boosting resources stocks. Futures-related buying ahead of the afternoon’s close-out further helped the bourse.
By 11.58am, the all-share index was up 0,88% at 16 125,06 after earlier reaching a record high of 16 141,87. Resources rallied 1,53%, the gold-mining index surged 3,72% and the platinum-mining index picked up 1,11%. Industrials climbed 0,61%, financials firmed 0,24% and the banks index was 0,59% better.
The rand was bid at R6,36 per dollar from R6,34 when the JSE closed on Wednesday, while gold was quoted at $449,95 a troy ounce from $448,85/oz at the JSE’s last close.
“The market is absolutely flying,” a dealer said. “The strength is contrary to what the Dow did, although the Nikkei was up over 100 points.”
The dealer explained that the rand had weakened, touching R6,40 at one stage, and commodity prices were all higher. Strength in resources stocks was a catalyst for gains in the rest of the market.
There was also buying as players positioned themselves for the futures close-out during which the market was expected to be taken higher.
On the resources index, petrochemicals group Sasol jumped 2,75% or six rand to R224 on the back of a higher oil price.
Gold Fields soared 5,4% or R4,16 to R81,20, Harmony leaped 3,91% or R2,15 to R57,10 and AngloGold Ashanti added 2,06% or R5,15 to R255,10.
Impala Platinum was up 1,07% or R7,50 to R707 and AngloPlat climbed 1,28% or four rand to R317.
Global resources group BHP Billiton was 95 cents better at R96,80 and Anglo American added R1,25 to R169,40.
On the all-share industrial index, Swiss-listed luxury-goods group Richemont rose 2,89% or 73 cents to R25,95. Its intraday high of R26,09 was its strongest since April 2002.
Before the opening, Richemont reported a 16% overall growth in sales at actual exchange rates for the five-month period to the end of August.
The dealer said that this was above forecasts of a 12% o 13% increase in sales.
Another strong performer was Illovo Sugar, which jumped 3,61% or 34 cents to R9,76. It traded at a best level since November 1997 of R10 at the opening.
Illovo said in a trading statement after the close on Wednesday that its actual headline earnings per share and earnings per share for the six months ending September 30 would be between 190% and 210% higher than for the corresponding period last year.
Pulp and paper producer Sappi firmed 2,08% or R1,55 to R76,05.
Transport and logistics group Imperial gained 1,18% or R1,50 to R128,50.
Construction group Murray & Roberts was up 2,18% or 40 cents at R18,75 and Aveng advanced 2,01% or 30 cents to a highest-to-date R15,20.
Murray & Roberts’ intraday high of R19 was its strongest since mid-1996.
Furniture group Steinhoff was 2,69% or 30 cents stronger at R19,10 after touching a lifetime high of R19,15 and retailer New Clicks rang up 2,61% or 23 cents to R9,03.
Standard Bank climbed 55 cents to R70,65, Nedbank notched up 45 cents to R92,75 and Absa added 90 cents to R95,40.
Investment company Remgro was 86 cents in the black at R113,88.
On the JSE’s downside, London-listed brewer SABMiller slipped 88 cents to R117,62.
Cellular network operator MTN Group was off 20 cents at R47,80.
Retailer Pick ‘n Pay surrendered 20 cents to R28 and Lewis was 36 cents lower at R46.
Financial-services group Old Mutual eased four cents to R15,85 and Sanlam was 10 cents softer at R13,35. — I-Net Bridge