The JSE continued to forge to record highs on Monday, with a weaker rand and surging gold price boosting heavyweight diversified resources and gold counters. The rest of the market lost ground, however.
By 12.01pm, the all-share index was up 0,17% at 16 401,08, having reached a record 16 453,74 in opening trade. Resources rose 1,31% and the gold-mining index soared 6,11%, but the platinum-mining index lost 1,49%. Industrials slipped 0,47%, while the financial and banks indices fell 0,6% and 0,89% respectively.
The rand was bid at R6,42 per dollar from R6,37 when the JSE closed on Friday, while gold was quoted at $461,95 a troy ounce from $458,35/oz at the JSE’s last close.
“We’re at a high again. Weakness in the rand is the main reason — most of the dual-listed stocks are up,” a dealer said.
“Gold shares are also rampant. The gold price is flying. There is a lot of fund buying of gold, prompted by concerns about the United States economy in the wake of Hurricane Katrina.”
Currency traders said the rand had weakened in line with the euro, which had been knocked by uncertainty following Sunday’s German election, which failed to produce a clear winner.
As far as the rest of the JSE was concerned, the dealer said it was weaker primarily due to lack of interest.
Resources dominated activity on a morning that saw an impressive R2,7-billion-worth of shares trading.
In morning trade, London-listed diversified resources group Anglo American added 1,12% or two rand to R180,50. Anglo’s intraday high of R181,80 was its strongest since June 2002.
BHP Billiton was 1,2% or R1,20 in the black at R101,20 after earlier trading at a lifetime high of R102,50.
Gold miner Harmony rocketed 10,43% or R6,75 to R71,49, Gold Fields gained 4,61% or R4,01 to R91,01 and AngloGold Ashanti advanced 4,81% or R13 to R283 after trading at a highest level since March last year of R283,50.
AngloPlat was up 1,65% or R5,51 at R339,50, but Impala slumped 3,46% or R25 to R698 after going ex-dividend of R18 a share.
Iron-ore miner Kumba was 3,89% or R3,48 stronger at a best-to-date R93.
Petrochemicals group Sasol, however, shed R1,25 to trade at R223,75 due to an easing in the oil price.
On the all-share industrial index, pulp and paper producer Sappi strengthened 2,18% or R1,65 to R77,50.
Sugar producer Tongaat gained 2,49% or R1,75 to R72.
Transport and logistics group Imperial picked up 1,58% or R1,99 to R128 and furniture group Steinhoff was 1,55% or 30 cents higher at R19,70.
London-listed brewer SABMiller, which earlier traded at an all-time high of R120, was 44 cents in the black at R119,50.
Swiss-listed luxury-goods group Richemont, however, retreated 2,99% or 79 cents to R25,61 after going ex-dividend of 79,66 cents per share.
Telkom tumbled 2,16% or R2,71 to R122,80 and MTN Group gave up 1,49% or 70 cents to R46,40.
Media group Naspers slid 2,4% or R2,50 to R101,50.
Retailer Pick ‘n Pay retreated 1,42% or 40 cents to R27,80.
On the financial index, Standard Bank weakened 50 cents to R71,50 and FirstRand fell 1,19% or 20 cents to R16,60. Nedbank was down 75 cents to R91 and Absa eased 45 cents to R91,60.
Liberty Group was 1,21% or 80 cents lower at R65,20. — I-Net Bridge