Platinum stocks were setting the pace on the JSE just after noon on Tuesday after renewed talk of a platinum exchange-traded fund (ETF) sent the metal to a record high. However, a stronger rand kept a bit of a lid on the local bourse.
Platinum was last quoted at $1Â 390/oz from $1Â 249,50/oz when the JSE closed on Monday. It earlier touched a record high of $1Â 415,50/oz.
By 12.06pm, the all-share index added 0,32%. The platinum-mining index jumped 2,18% and the gold-mining index gained 0,45%, but the resources index dipped 0,11%. The financial and banks indices firmed 1,24% and 2% respectively, while the all-share industrial index climbed 0,25%.
The rand was bid at 7,20 per dollar from 7,24 when the JSE closed on Monday, while gold was quoted at $624,95 a troy ounce from $625,70/oz at the JSE’s last close.
“The whole thing about this market is the platinum price, the platinum price, the platinum price,” a dealer asserted. “Talk of an ETF out of Asia pushed platinum through the roof. It hasn’t pushed the shares up to the extent I thought it would, which is a bit disappointing.”
He added that the rand was a bit stronger and had traded as low as 7,19 and this had put a bit of a dampener on the market.
Bank shares were the exception, having been boosted by the weaker currency.
AngloPlat shares were up 2,72% or R22 at R831 and Impala jumped 1,47% or R2,52 to R174,47. Northam soared 5,5% or R2,20 to R42,20 and Lonmin leaped 2% or R8,25 to R420.
Petrochemicals group Sasol was 2,08% or R5 stronger at R245,60.
AngloGold Ashanti added R2,46 to R319,45 and Gold Fields firmed 74c to R124,23.
Kumba Resources rallied 5,06% or R2,48 to R51,48, but Kumba Iron Ore slipped 1,77% or R1,95 to R108,05.
London-listed diversified resources group Anglo American eased R1,50 to R336 and BHP Billiton tumbled 2,16% or R2,91 to R131,99.
While the rand played a role in their weakness, the analyst said that Billiton and Rio Tinto had both been downgraded offshore on the back of the copper price.
On the all-share industrial index, pulp and paper producer Sappi strengthened 2,49% or R2,75 to R113 and Mittal Steel picked up 2,14% or R1,86 to R88,86.
Swiss-listed luxury goods group Richemont rose 14c to R38,40. It was up in Zurich due to strong Swiss watch export data although its local gains were pared by the currency.
Cellular network operator MTN Group climbed 21c to R71,21.
Brand management group Barloworld was 50c better at R147 after reaching a record high of R148.
The dealer said that both Investec and Merrill Lynch had upped their target prices on Barloworld following its strong results on Monday.
Hotel and gaming group Peermont Global rocketed 8,31% or 94c to R12,25. It earlier traded at an-all time high of R12,70 on news before the opening that a consortium had made an offer to acquire the entire issued share capital of the company at R12,90 per share.
Sun International, which surged to a new high of R120, was 2,2% or R2,46 stronger at R114,51.
Furniture group Steinhoff, however, shed 1,52% or 35c to R22,75.
Retailer Pick ‘n Pay surrendered 30c to R31,60 and Shoprite slipped 25c to R26,60.
On the financial front, London-listed Old Mutual was 1,62% or 41c to the good at R25,71.
Banking group FirstRand forged ahead 2,68% or 51c to R19,52, Standard Bank rallied 2,17% or R1,85 to R87 and Absa was 2,69% or R3,05 in the black at R116,60. — I-Net Bridge