The JSE roared to another record high on Wednesday morning, encouraged by stronger world markets and a higher gold price. The release of benign inflation data, which was seen as tempering the interest-rate outlook, gave retailers and banks a further boost.
At 12.07pm, the-all share index was up 1,11% at 24 387,12 having touched an all-time high of 24 398,619. Industrials climbed 0,83%, while the financial and banks indices firmed 1,4% and 2,01% respectively. Resources rose 1,24%, the gold-mining index jumped 1,72%, while the platinum-mining index perked up 0,41%.
The rand was bid at 7,01 per dollar from 7 when the JSE closed on Tuesday, while gold was quoted at $624,05 a troy ounce from $620,45/oz at the JSE’s last close.
“The market is looking strong. The United States was slightly better and markets in the East performed very well. The gold price is up so we’ve seen good demand for gold shares as well,” a dealer said.
He added that following the release of lower-than-expected inflation numbers, a view was emerging that interest-rates hikes might be coming to an end.
“Retailers are flying at the moment and banks are looking solid as well.”
The dealer noted, however, that the market was quiet. Only R1,5-billion worth of shares had changed hands.
He said that he had not seen much futures-related buying ahead of Thursday’s close-out, which he expected to be fairly small.
On the JSE’s resources index, London-listed Anglo American advanced 1,42% or R4,82 to R343,51 and BHP Billiton was 1,32% or R1,68 better at R129,20.
Petrochemicals group Sasol strengthened 1,19% or R2,94 to R249,49.
Harmony Gold leaped 3,13% or R3,45 to R113,50. Gold Fields gained 2,15% or R2,75 to R130,85 and AngloGold Ashanti ticked up 98 cents to R323.
Coal and industrial minerals group Exxaro rallied 1,38% or 74 cents to R54,35.
Among industrials, London-listed brewer SABMiller was up 2,25% or R3,50 at R159,30 after touching a new high of R160.
Swiss-listed luxury goods group Richemont climbed 16 cents to R39,95.
Transport and logistics group Imperial improved 1,61% or R2,50 to R158.
Telkom jumped 1,85% or R2,50 to R137,55 and MTN Group rang up 50 cents to R80,50. Media group Naspers was 1,58% or R2,35 in the black at R150,85 after reaching a record level of R151,80.
Retailer Lewis leaped 3,57% or R2 to R58. Ellerine was 2,11% or R1,54 stronger at R74,59 and JD Group gathered 2,11% or R1,60 to R77,60.
On the financial front, health and life insurer Discovery soared 4,11% or R1,09 to an all-time high of R27,64.
London-listed financial-services group Old Mutual strengthened 1,42% or 33 cents to R23,55.
Banks put in a strong showing, with FirstRand surging 3,16% or 65 cents to R21,25 and Standard Bank picking up 1,69% or R1,50 to R90,50. Absa advanced 1,09% or R1,30 to R120,30 and Nedbank was bolstered 1,34% or R1,71 to R129,06. FirstRand and Standard Bank earlier traded at record highs of R21,30 rand and R91,01 respectively. — I-Net Bridge