Notwithstanding a slightly firmer rand, the JSE was marginally firmer in quiet, sideways trade at noon on Thursday ahead of the Reserve Bank’s Monetary Policy Committee (MPC) interest rates decision due shortly after 3pm.
Dealers said that until the MPC announcement, there was likely to be little movement in the market.
By 12pm on Thursday, the all-share index was up a paltry 0,03%, with resources up 0,04%, but the gold-mining index was 1,72% weaker. Platinum miners, however, were up 0,06%, industrials were flat at 0,01%, banks were also flat at 0,03% and financials off by 0,01%.
The rand was bid at 7,65 per dollar from 7,69 when the JSE closed on Wednesday, while gold was quoted at $571,15 a troy ounce from $578,50/oz at the JSE’s last close.
“The market opened weaker on a stronger rand. However, the rand has come off its best levels and the market has picked up a bit. But the market is very quiet and we’re likely to continue to drift sideways until the MPC decision later this afternoon,” a local equities trader said.
Among resources, benchmark stock Anglo American was up 0,45%, or R1,50, to R333, while BHP Billiton was 0,52%, or 70c firmer, at R135,70. Sasol, however, was down 60c, or 0,25%, to R243,51.
Among gold counters AngloGold Ashanti was down R6, or 2,05%, to R286, while Gold Fields was 180c, or 1,35%, softer at R131,60 and Harmony shed R2,19, or 2,03%, to R105,81.
AngloPlat was unchanged at R796 while Impala Platinum was also unchanged at R1Â 280 rand. Both stocks were up in opening trade.
Among industrial counters, SABMiller was 1,68% or 251c weaker at R146,50. The global brewing giant said on Thursday that the group’s lager sales volumes grew by some 9% on an organic basis in the six months ended September and its financial performance was in line with management’s expectations.
Among other industrial counters, brands management group Barloworld was off 55c to R135,40, while Tiger brands was 68c firmer at R141,20.
In the news on Thursday morning, it was announced that Tongaat-Hulett, Anglo American and the Industrial Development Corporation have given approval to proceed with a R950-million expansion project at Hulett Aluminium.
This follows Tongaat-Hulett’s announcement earlier this year of its plans to unbundle and list Hulett Aluminium on the JSE, thereby establishing two attractive, focused investment vehicles and creating the opportunity for black economic empowerment (BEE) shareholding in both entities, the company said on Thursday.
A BEE shareholding is expected to be introduced at the level of 25% in Tongaat-Hulett and 15% in Hulett Aluminium when the unbundling and listing takes place in 2007.
Tongaat was 6c firmer at R90,86.
Media group Naspers, which has gained over 10% so far this month, continued its good run.
Among banks and financials, Nedbank was down 58c to R109,92, and FirstRand was down 5c to R17,80, while Absa was up 120c to R98. Standard Bank was up 8c to R79,98. Old Mutual was up 13c to R24,89 but Sanlam was down 8c to R17,03.
MTN, one of the five most active traded shares during the morning session, was 40c firmer at R64,95, while Telkom added 65c to R138,90. — I-Net Bridge