The JSE was firmer just before midday on Monday lifted by stronger global markets and higher precious metals prices. The gains came on fairly low volumes, however.
By 11.54am, the all-share index added 0,73%. Resources rallied 1,91%, the gold-mining index jumped 2,78% and the platinum-mining index perked up 1,1%.
Financials firmed 0,22% and the banks index inched 0,1% higher. The all-share industrial index dipped 0,07%, however.
The rand was bid at R6,22 per dollar from R6,30 when the JSE closed on Friday, while gold was quoted at $543,41 a troy ounce from $535,95/oz at the JSE’s last close.
“The market is up overall on the jump in the gold price from Friday’s levels. US markets were up on Friday and the rest of the world followed suit today and we are also just following this trend.”
She added, however, that volumes were light and there was a general lack of interest in the market. After last week’s volatility, players were jittery about when it was safe to enter the market and were taking to the sidelines to an extent.
In morning trade, global resources group BHP Billiton leaped 2,51% or R2,49 to R101,60. It was up strongly in Australia on Monday.
London-listed Anglo American advanced 1,67% or R3,50 to R213.
Diversified miner Kumba climbed 1,62% or R1,60 to R100,10.
Harmony Gold surged 5,69% or R4,40 to R81,75 and Gold Fields leaped 3,04% or R3,55 to R120,30. AngloGold Ashanti added R2,50 to R297,50.
Impala Platinum improved 1,37% or R14 to R1 035, while AngloPlat added R2,74 to R483 despite going ex-dividend of R7 per share.
On the all-share industrial index, Mittal Steel strengthened 3,38% or R2,01 to R61,50.
Food group Tiger Brands gained 1,25% or R1,90 to R153,90.
Media group Naspers notched up one rand to R121.
Cellular network operator MTN Group climbed 45 cents to R58,75, but fixed-line operator Telkom lost 1,31% or two rand to R150,90.
According to AFX, Telkom is preparing a counterbid for Portugal Telecom SGPS, in response to SonaeCom’s €10,7-billion offer for the Portuguese incumbent, Publico daily reported.
PT has operations in several African countries and earlier reports have said a flotation in Johannesburg of its PT Africa division could be one weapon in the company’s defence against the Sonae group’s bid.
Retailer Shoprite retreated 1,65% or 35 cents to R20,85, Truworths tumbled 2,22% or 59 cents to R26 and Massmart slipped 2,07% or R1,24 to R58,61. Shoprite went ex-dividend of 27 cents per share on Monday, while Truworths and Massmart stated trading without their dividends of 44 cents per share and 130 cents per share respectively.
Food group AVI dropped 4,71% or 80 cents to R16,20 after it reported a 19% increase in interim headline earnings per share from continuing operations to 60,8 cents for the half-year to December 2005 from 51,1 cents in the previous comparative period.
However, headline earnings per share declined 44% to 60,1 cents from 108,2 cents previously. AVI declared an interim dividend per share of 20 cents from 31 cents in the prior period.
On the financial front, Liberty Group leaped 2,01% or R1,70 to R85 and Sanlam climbed six cents to R16,06, while London-listed Old Mutual firmed 18 cents to R20,02.
Banking group FirstRand firmed 15 cents to R19,03, but Nedbank eased 75 cents to R121,25. Absa was off 90 cents at R113,60 after going ex-dividend of 135 cents per share.
Short-term insurer Santam dived 9,21% or R8,27 to R81,50, having started trading without its 877 cents per share dividend, which included a special dividend of 650 cents per share. — I-Net Bridge