The JSE continued its romp into record territory on Friday, buoyed by higher commodity prices. Firmer world markets gave the bourse a positive underpin.
By 11.58am, the all share index added 0,92%, Resources rallied 1,36%, with the gold and platinum mining indices jumping 1,67% and 1,95% respectively. Industrials climbed 0,65%, financials firmed 0,49% and the banks index was 0.37% better.
The rand was bid at 7,50 per dollar from 7,51 when the JSE closed on Thursday, while gold was quoted at $598,85 a troy ounce from $596,35/oz at the JSE’s last close. Gold earlier traded as high as $602,65/oz.
“The market is looking very spunky. We’ve seen good demand coming through. But I think there are a lot of longs out there and we might find a bit of position squaring this [Friday] afternoon,” a dealer said.
He added that gold’s break above $600/oz was the catalyst for the JSE’s strength as it had sparked good demand for resources stocks. Gold shares were strong in the United States overnight as well.
The strength in gold came in anticipation of an output cut by Opec. The cartel on Friday announced it would reduce output by 1,2-million barrels a day — more than the one million expected.
World markets were also firmer and this was further supporting the JSE, the dealer concluded.
On the resources index, BHP Billiton was boosted 1,72% or R2,48 to R146,99 and Anglo American added R2,07 to R344,98.
Anglo and Billiton earlier traded at lifetime highs of R347 and R147,66 respectively.
Petrochemicals group Sasol strengthened to R4,60 to R263,60.
AngloGold Ashanti advanced 2,31% or R6,75 to R299,35 and Harmony was 2,14% or R2,29 better at R109,34. Gold Fields gained R1,25 to R128,90.
AngloPlat was up 2,14% or R17,48 at R835,98 and Impala leaped 1,78% or R22,90 to R131,90.
Kumba was 1,71% or R2,50 in the black at R148,50 after trading at a record high of R149,80.
Among industrials, Swiss-listed luxury goods group Richemont rose 35 cents to R38,05. London-listed brewer SABMiller climbed 81 cents to R147,65.
Transport and logistics group Imperial rallied 2,33% or R3,24 to R142,25, services group Bidvest strengthened 1,42% or R1,65 to R117,75 and brand management group Barloworld gained 1,55% or R2,10 to R137,60.
Cellular network operator MTN Group rang up 1,36% or 90 cents to R67,20 and media group Naspers notched up 1,69% or R2,20 to R132.
Retailer Shoprite was up 1,63% or 41 cents at R25,51.
Edcon, however, surrendered 1,14% or 39 cents to R33,91.
London-listed IT group Dimension Data slipped 1,28% or seven cents to R5,40, while Datatec was down 1,69% or 50 cents to R29.
On the financial front, investment company Remgro (REM) firmed 1,04% or R1,63 to R158,58.
Life insurer Sanlam climbed 13 cents to R17,20.
Nedbank ticked 1,08% or R1,25 higher to R117,20, Absa added 54 cents to R107,24, FirstRand strengthened 10 cents to R18,50 and Standard Bank was 24 cents to the good at R84,25. – I-Net Bridge