The JSE reached another record high on Friday as a surge in bullion to its best levels since June 1998 saw gold stocks soar.
By 11.57am, the all share index was up 0,73% at 16 266,84 after earlier touching a record high of 16 272,14. The gold mining index rocketed 6,59%.
The resources index rallied 2,18% having also reached a record high. The platinum
mining index was 0,74% stronger. Industrials dipped 0,09%, financials eased 0,19% and the banks index was flat (-0,03%).
The rand was bid at 6,34 per dollar from 6,38 when the JSE closed on Thursday, while gold was quoted at $458,60 a troy ounce from $448,85/oz at the JSE’s last close.
Spot gold earlier touched $459,20/oz — its highest since June 1988.
“It is 100% a gold play,” a dealer said. “There might be some contagion to Anglo and Billiton.”
He added that with everyone looking at the gold price, which was expected to go to $460, the slightly stronger rand was having no effect on the market.
Gold was being driven by concerns about the effect of Hurricane Katrina on US inflation and growth, he explained.
Gold miner Harmony (HAR) was the top performer, rocketing 11,76% or R6,84 to R65. The dealer said that this was because Harmony was most geared to the higher gold price.
Gold Fields jumped 5,91% or R4,85 to R86,90 and AngloGold Ashanti advanced 4,6% or R11,73 to R267. Its intraday high of R268,80 was its strongest since April last year.
Junior miner Western Areas rose 6,38% or R1,50 to R25 and DRDGold leaped 6,29% or 55 cents to R9,30.
London-listed Anglo American added 2,55% or R4,35 to R174,80 after trading at a best level since March 2004 of R175,05. BHP Billiton was 1,28% or R1,25 better at R98,85.
AngloPlat strengthened 2,63% or R8,50 to R332 and petrochemicals group Sasol climbed R1,50 to R225,50.
Other advancers included Mittal Steel, which gained 1,65% or 81 cents to R50 and iron ore miner Kumba, which was 2,37% or two rand in the black at R86,50.
Transport and logistics group Imperial picked up R1,20 to R125,50 and brand management group Barloworld was 79 cents better at R109,30.
Construction group Murray & Roberts rallied 4,56% or 85 cents to R19,50 after trading at a best level since 1996 of R20. Aveng advanced 3,36% or 51 cents to R15,70.
Standard Bank was 21 cents in the black at R70,90.
Investment company VenFin picked up 1,29% or 43 cents to R33,80.
On the market’s downside, London-listed brewer SABMiller was 50 cents weaker at R117,71.
Services group Bidvest slipped 65 cents to R90,10 and cellular network operator MTN Group surrendered 15 cents to R47,10.
Media group Naspers shed 85 cents to R104,15.
Retailer Edcon slumped 3,18% or R1,02 to R31,03.
London-listed financial services group Old Mutual fell 10 cents to R15,72 and Sanlam was 1,52% or 20 cents softer at R13.
Sanlam said on Friday that it would offer its shareholders fewer than 300 Sanlam shares at a price of R13,76 per share as part of its specific repurchase scheme.
Impala Platinum eased R1,03 to R720. – I-Net Bridge