Despite a firmer rand, the JSE hit a new all-time high on Tuesday morning, with the all-share index breaking through the key 24 000 barrier.
However, some traders described the tempo in the market as more of a trot than a gallop at the moment, saying the market was looking ”a bit tired” after its record run on Monday which saw the all share index add 360 points or 1,5%.
By 12.05pm, the all share index was up 0,56% or 134 points at 24 085,270.
Earlier it hit a new record high of 24 097,311. The all share industrial index was up 0,37%, resources had added 0,88%, the platinum mining index was up 1,43% but the gold mining index, although firmer, was relatively flat at 0,07%.
Financials were up 0,27% and the banks index 0,66% firmer.
The rand was bid at 7,2757 per dollar from 7,37 when the JSE closed on Monday, while gold was quoted at $624,77 a troy ounce from $626,89/oz at the JSE’s last close.
”We saw the exchange open on a fairly even note. But bits of demand started to come in when the European markets came on line. We’ve also seen continued demand for platinum shares, although gold shares are off a bit.
Resource shares in general are taking advantage of the platinum price. The market seems to be happy in this bullish market,” an equities trader said.
Nonetheless, some traders felt that, given the performance of world markets in general, they would have expected the local bourse to be somewhat stronger.
”The market seems to be looking a bit tired after yesterday’s [Monday] record run,” said one trader.
Among platinum counters, Impala was up 1,26% or 230 cents at R184,80 after earlier hitting a lifetime high of R185. On Monday it gained 7,75% or R13,12 on the combination of an eight-for-one share split and higher platinum price.
AngloPlat was up R14,95 or 1,70% at R894,95 after earlier also touching a new lifetime high of R900 a share.
On Tuesday morning, AngloPlat announced that Fred Phaswana has succeeded Barry Davison as chairperson of the mining group. Phaswana is a member of the
Board of Anglo American, chairperson of both Anglo American South Africa
and transport utility Transnet, chairperson of Ethos Private Equity and a non- executive director of Naspers.
Northam Platinum was up 2,76% or 125 cents to R46,50.
Among gold counters, AngloGold Ashanti was unchanged at R322,50, Harmony was up just 15 cents or 0,13% to R116,49 and Gold Fields was 20 cents or 0,15% to the better at R132,05.
Petrochemicals group Sasol strengthened R4,50 or 1,75% to R261,50.
The synthetic fuels giant announced on Tuesday the Mozambican Ministry for the Coordination of Environmental Affairs had conditionally approved an independent environmental impact assessment report allowing Sasol to explore for hydrocarbons (such as gas) in an area covering approximately 10 000 square kilometres off the Mozambican coast.
Sasol will now initiate work required to satisfy conditions set out in the EIA by the Mozambican authorities. This will lead to the commencement of exploration activities in the first quarter of 2007, it said.
”It is our vision to play a dynamic role in the development of the energy resources of Southern Africa. We are committed to developing and stimulating the region’s gas, liquid fuels and chemical industries,” said Sasol group general manager Lean Strauss.
Strauss said that discovery of additional hydrocarbon resources in Mozambique would unlock additional wealth for Mozambique though much-needed foreign investment and economic skills and social development.
London-listed diversified resources group Anglo American added 250 cents to R348,50 and BHP Billiton added 110 cents to R148,25. Earlier, Anglo and Billiton hit new lifetime highs of R349,97 and R148,99 respectively.
Kumba was up 2,32% or R3,50 at R154,50 after earlier touching a record of R155.
Among industrials, Bidvest was up 89 cents or 0,75% to R119,89, global brewer SABMiller was up 0,78% or 114 cents to R148 and Johnnic was up 30 cents or 2,97% to R10,40.
While London-listed financial services group Old Mutual slipped four cents to R24,30, Sanlam was up five cents to R17,60.
Nedbank was 196 cents to the better at R123,97, Standard Bank was 70 cents stronger at R86,70 and Absa added 205 cents to R114,60. FirstRand, however, was down 14 cents at R19,63. – I-Net Bridge