After opening higher, the JSE surrendered its gains and had dipped into the red by noon on Wednesday, dragged down by weaker world markets and a slightly stronger rand. There was also little news to draw buyers into the market and volumes were light.
By noon, the all-share index was down a marginal 0,04%. Financials fell 0,33% and the banks index was 0,48% in the red. The platinum-mining index lost 0,56%, despite spot platinum rocketing to a 25-year high of $952/oz. The all-share industrial and resources indices inched 0,06% and 0,03% higher respectively, while the gold-mining index gained 0,23%.
The rand was bid at R6,71 per dollar from R6,73 when the JSE closed on Tuesday, while gold was quoted at $462,20 a troy ounce from $461/oz at the JSE’s last close.
“The market came off quite aggressively yesterday [Tuesday] and this morning we opened up on bargain hunting, but there was nothing to keep it going,” a dealer said.
“The rand is a bit stronger than its worst levels and world markets are a touch weaker, so there is nothing to make the JSE go firmer. It is just treading water at the moment.”
It was a fairly quiet morning, with just more than R1-billion-worth of shares trading.
Standard Bank led the market’s downside, sliding 1,36% or 95 cents to R68,85.
Nedbank was also under pressure, losing 1,4% or R1,25 to R87,75, while Absa eased 60 cents to R89,40.
FirstRand, however, firmed nine cents to R15,75 and its major shareholder RMB Holdings rose five cents to R23,95.
Life assurer Sanlam slid 1,52% or 19 cents to R12,31.
Microlender Abil tumbled 2,6% or 59 cents to R22,10.
Cellular-network operator MTN Group dropped 1,25% or 70 cents to R55,30, while Telkom surrendered one rand to R139.
Media group Naspers was down one rand at R100.
Pulp and paper producer Sappi shed 1,31% or 85 cents to R64, while Mittal Steel was 1,4% or 75 cents softer at R52,65.
Before the opening, Mittal reported a 37% decline in headline earnings per share for the September quarter to 221 cents from 353 cents in the September 2004 quarter.
London-listed brewer SABMiller, however, bounced 1,58% or R1,95 to R125,75 and Swiss-listed luxury-goods group Richemont rose 14 cents to R25,54.
Food group Tiger Brands rebounded 1,85% or R2,49 to R137.
Construction group Aveng advanced 1,9% or 35 cents to a record high of R18,75.
Retailer Shoprite rang up 1,48% or 25 cents to R17,10 and furniture group Steinhoff strengthened 1,6% or 29 cents to R18,46.
On the resources index, London-listed Anglo American was off 20 cents at R200,01, although it earlier traded at a strongest level since March 2002 of R203.
Impala Platinum weakened 90 cents to R787,01 and AngloPlat lost 90 cents to R431,10 — well off its intraday high and best level since June 2002 of R447,99.
Harmony Gold eased 25 cents to R70,50, but Gold Fields firmed 50 cents to R89,50 and AngloGold Ashanti ticked up 41 cents to R261,51.
Global resources group BHP Billiton was 29 cents better at R98,79 and petrochemicals group Sasol picked up 45 cents to R218,20. — I-Net Bridge