The JSE remained on the softer side at midday on Wednesday as some sectors fell prey to profit taking. However, there were pockets of strength, notably industrial counters.
At 12.21pm, the all-share index was down 0,23%, with resources off 1,34%, the gold miners 1,28% softer and platinums 0,87% in the red. Industrials were up 0,71%, financials were flat and the banking index added 0,28%.
The rand was bid at 7,24 per dollar from 7,22 when the JSE closed on Tuesday, while gold was quoted at $623,25 a troy ounce from $626,60/oz at the JSE’s last close.
“It’s very much sector specific. Industrials are looking fairly firm, but the mining and resources counters have come off a bit. We have seen a bit of profit-taking in some sectors,” said an equities trader.
There was quite a bit of corporate news on Wednesday morning, notably in the retail sector.
Shares in New Clicks rose 50 cents — or 4,42%, to R11,80 — after touching a high of R12 earlier, after the group said it had increased sales by 12,7% in the 17 weeks ended December 24.
It said its retail brands enjoyed strong trading during the period, including Christmas, with sales up by 14,8%. Comparable store growth was also 14,8%.
“The market is looking for any good news — it’s looking for value,” commented the trader.
However, shares in JD Group were off 28 cents to R87,75, despite the group growing total sales by 22% in the four months to January 15.
Shoprite was up 33 cents, or 1,28%, to R26,08 on news that it increased its turnover for the six months to December 31 by 14,7% to R19,1-billion from R16,6-billion for the comparable period in the prior financial year.
Shoprite said management was satisfied with these results, which were achieved in an environment of rising food price inflation.
Elsewhere, among resources stocks London-listed resources giant Anglo American was off R6,05, or 1,78%, to R334,20 and BHP Billiton gave up R1,90, or 1,48%, to R126,60.
Synthetics fuels group Sasol was down R1,55 to R227.
Among gold counters AngloGold Ashanti was R1,79 weaker at R324,30, Gold Fields dipped R2,49, or 2,04%, to R119,50 and Harmony slipped R1,52, or 1,6%, to R93,25.
Platinum producer AngloPlatinum was off R14, or 1,54%, to R897 and Impala Platinum was down 92 cents to R190,78.
Among industrial counters, London-listed global brewing giant SABMiller advanced R4,60, or 2,75%, to R172,10 — a fresh all-time high.
SABMiller announced at the opening that following the summer peak season in its southern hemisphere operations, the group’s organic lager volume growth for the third quarter was recorded at about 10%, marginally ahead of growth for the year to date of 9,5%.
Brand management group Barloworld was R4,44, or 2,55% better at R178,50 — also a new record best.
Bidvest was up 50 cents to R140,50 — matching its record high.
Mobile network operator MTN Group was unchanged at R85 and Telkom lost 33 cents to R143,93.
Among banks and financials Standard Bank was up 25 cents to R100,75, Absa climbed R1,40 to R134,50 and Nedbank was 96 cents higher at R139,16.
London-listed insurance group Old Mutual shed 13 cents to R25,07. – I-Net Bridge