The JSE was in positive territory just before midday on Monday, supported by higher commodity prices. Trade was thin, which amplified gains.
By 11.53am, the all-share index added 1,01%. Resources rallied 1,82%, the platinum-mining index jumped 3,88% and the gold-mining index gained 0,67%. Industrials and financials climbed 0,33% and 0,74% respectively and the banks index was 1,64% in the black.
The rand was bid at 6,11 per dollar from 6,16 when the JSE closed on Friday, while gold was quoted at $585,85 a troy ounce from $582,75/oz at the JSE’s last close. At $1, 075/oz, platinum was up $2,50 from its level when the JSE last closed and $18 stronger than Friday’s overnight close.
“The market is strong,” a dealer said. “Commodity prices have been flying and that has been the trend for the day … Volumes have been thin, which has exacerbated the move up to a large degree.”
He noted that the JSE’s gains came despite a weaker Dow on Friday and a stronger rand. A number of shares started trading without their dividends on Monday, but this too seemed to have been largely shrugged off with the JSE still having a good day.
On the resources index, BHP Billiton was boosted 3,34% or R3,76 to R116,25. It touched a record high of R117,01 in opening trade. Anglo American added 1,18% or R2,80 to R239,60.
BHP Billiton on Monday announced the completion of its off-market buy-back of 96 million BHP Billiton shares, which comprised the first stage of its $2-billion capital management programme.
Due to the strong demand available at an attractive price, BHP Billiton increased the buy-back to Aus$2,25-billion ($1,6 billion), representing 1,6% of the issued share capital of the BHP Billiton group and 2,7% of BHP Billiton Ltd.
Both Billiton and Anglo were up in London on Monday and were instrumental to the FTSE’s rise.
Petrochemicals group Sasol was up 80c at R233,80, despite going ex-dividend of R2,80 per share.
AngloGold Ashanti advanced 1,52% or R5 to R333 and Gold Fields firmed 78c to R135,17, but Harmony dipped 6c to R99,94.
AngloPlat surged 4,58% or R25,62 to R585, Impala leaped 3,61% or R42 to R1Â 207 and Northam notched up 1,94% or 60c to R31,60.
AngloPlat and Northam earlier traded at record highs of R589,87 and R31,90 respectively.
On the financial front, Standard Bank strengthened 2,38% or R2,02 to R86,82 and Nedbank was R1,05 better at R129,50. FirstRand rose 1,5% or 30c to R20,30 and its major shareholder RMB Holdings jumped 2,4% or 70c to R29,85.
London-listed financial services group Old Mutual picked up 7c to R21,54 and Sanlam was 5c higher at R16,55.
Liberty Group, however, surrendered 2,53% or R2,25 to R86,75 after going ex-dividend of R2,24 per share.
Heath and life insurer Discovery slipped 1,67% or 41c to R24,10.
Industrials to gain ground included Swiss-listed luxury goods group Richemont, which climbed 26c to R29,50.
Telkom gained 1,15% or R1,85 to R162,50 and MTM Group was up 40c at R61,90.
Media group Naspers notched up 1,38% or R1,73 to R127,23, but Caxton dived 5% or 75c to R14,25.
Pulp and paper producer Sappi shed 2,2% or R2,02 to R90.
Illovo Sugar was 2,41% or 40c stronger at R17, but Tongaat-Hulett tumbled 1,97% or R1,95 to R97,20 after its strong run last week.
Food group AVI fell 2,14% or 36c to R16,44 after it went ex-dividend of 20c per share. — I-Net Bridge