The JSE was in positive territory just before noon on Friday, having rebounded sharply at the opening following Thursday’s sell off. The recovery was in line with world markets.
By 11.48am, the all-share index added 1,54%. Resources rallied 2,17%, the gold-mining index gained 1,18% and the platinum-mining index perked up 1,26%. Resources rebounded 2,17%, with the gold- and platinum-mining indices climbing 1,18% and 1,26% respectively. Financials firmed 1,52%, while the banks index was 1,2% better.
The rand was bid at 6,74 per dollar from 6,79 when the JSE closed on Thursday, while gold was quoted at $612,15 a troy ounce from $613,45/oz at the JSE’s last close.
On Thursday, the all -hare index dived 6,5% in its worst day since the bursting of the dot.com bubble in April 2000. The market, which had already been sagging under the weight of weaker world markets and lower commodity prices, doubled its losses after South African Reserve Bank governor Tito Mboweni announced a 50-basis point increase in the repo rate to 7,5%.
“We had a straight-line fall and were due for a bit of a bounce,” a dealer said.
A second dealer expressed similar views, adding that the JSE’s recovery was in line with world markets, which had all taken pain on Thursday, although not as much as the JSE.
The question, he said, was whether the recovery was genuine or merely a dead-cat bounce.
On the resources index, BHP Billiton was up 3,13% or R3,60 at R118,60, while Anglo American added 1,96% or R4,51 to R234,51.
Petrochemicals group Sasol strengthened 2,85% or R6,28 to R226,29.
Gold Fields gained 2,54% or R3 to R121 and Harmony was 1,85% or R1,60 higher at R88,20, but AngloGold Ashanti shed 1,17% or R3,20 to R271.
AngloPlat added 1,7% or R9 to R539 and Impala improved 1% or R10 to R1 010.
Coal and iron ore miner Kumba bounced 3,13% or R2,98 to R98,25.
Swiss-listed luxury group Richemont, which was decimated on Thursday after releasing its results, climbed 1,23% or 35c to R28,80. Remgro rebounded 3,32% or R4,05 to R126,05.
Brand management group Barloworld was up 1,94% or R2 at R105.
Pulp and paper producer Sappi firmed 1,52% or R1,11 to R74,11.
Telecoms group Telkom jumped 2,06% or R2,55 to R126,30 and MTN Group gained 1,36% or 68c to R50,86.
Media group Naspers notched up 2,5% or 280c to R114,80.
Construction group Murray & Roberts, however, tumbled 2,93% or 65c to R21,50, while PP Cement weakened R3,12 to R337,45.
Retailer Lewis lost 4,77% or R2,45 to R48,95, while fast-food group Famous Brands fell 2,78% or 30c to R10,50.
On the financial front, London-listed Old Mutual leaped 4,25% or 79c to R19,39.
Liberty Group gained 1,45% or R1 to R70, but Sanlam tumbled 2,79% or 39c to R13,61.
Standard Bank strengthened 2,13% or R1,50 to R72 and Absa added 2,24% or R2,15 to R98,16, but FirstRand dipped 5c to R16,15.
RMB Holdings rose 1,69% or 40c to R24, while specialist bank Investec Plc rebounded 3,75% or R11,50 to R318. — I-Net Bridge