The JSE hit yet another record high on Monday morning as upward momentum from Friday’s commodity driven rally continued. The market was quiet, however, as players waited to see what happened to metal prices when New York came into the market.
By 12.18pm, the all-share index was up 0,28% at 26 867,600 after reaching a high of 26 935,551. Resources rose 0,24% and the gold-mining index gained 0,44%, but the platinum-mining index dipped 0,09%. Industrials climbed 0,19% and financials firmed 0,52%, but the banks index was 0,2% in the red.
The rand was bid at 7,10 per dollar from 7,07 when the JSE closed on Friday, while gold was quoted at $684,55 a troy ounce from $683,50/oz at the JSE’s last close.
“The streets were paved with gold on Friday,” a dealer said. “The JSE roared ahead because of gold and also platinum shares and it is still enjoying some upside momentum today [Monday],” a dealer said.
Some of the mid-cap mining shares were performing very strongly, he noted.
He added that London-listed financial-services group Old Mutual released results before the opening and these had been welcomed by the market.
“It is very quiet. I think it’s just a case of Monday blues. Also, people are waiting to see what commodities do in the United States, which is very important,” the dealer concluded.
On the resources index, London-listed Anglo American added 1,25% or R4,50 to R365,50, but BHP Billiton lost R1,53 to R152,69 after going ex-dividend of 144,76 cents per share.
AngloGold Ashanti strengthened 1,05% or R3,50 to R337,50 and Gold Fields firmed 65 cents to R133,15, while DRDGOLD soared 7% or 37 cents to R5,89.
Harmony, however, weakened 1% or R1,02 to R100,88.
AngloPlat was up R4,84 at R1 047,85 after earlier trading at a record high of R1 078,43. Impala, however, eased R2,01 to R210,99. Lonmin leaped 2,15% or R9,90 to R471 after reaching a new high of R483.
Exxaro retreated 50 cents to R65 and Kumba Iron Ore lost 1,41% or R1,85 to R129,15.
Palamin picked up 2,88% or R1,50 to R53,50 and Metorex rallied 2,62% or 55 cents to R21,55. Scharrig Mining soared 5% or 85 cents to R17,85.
Scharrig and Metorex on Monday traded at record highs of R17,90 and R21,80 respectively.
On the financial front, Old Mutual was up 2,46% or 62 cents at R25,85. It traded at an all-time high of R25,87 after reporting an 18% decline in adjusted operating earnings per share on IFRS basis to 15,5 pence for the year ended December from 18,5 pence a year ago. The group recommended a final dividend of 4,15 pence — or 58 cents — up 13,7%.
Liberty Group gained 70 cents to R84,70.
Banking group Nedbank, however, slipped 1,17% or R1,70 to R144,10 and FirstRand fell nine cents to R24,36.
Absa was 32 cents in the black at R140,92, while Standard Bank inched up 15 cents to R104,40.
Among industrials, Swiss-listed luxury goods group Richemont strengthened 39 cents to R41 and London-listed brewer SABMiller climbed R1,12 to R123,10.
Consumer brands group AVI added 1,16% or 23 cents to R20.
MTN Group, however, surrendered 50 cents to R93,20 and Telkom dropped 1,47% or R2,50 to R167,50.
Hotel and gaming group Peermont Global plunged 5,49% or 74 cents to R12,75 following the withdrawal of a cautionary announcement issued on January 29 in which the company said it had received a non-binding, conditional proposal from a consortium comprising London & Regional Properties and Century Casinos to acquire the entire issued share capital of the company.
It emerged on November 18 that a consortium of investors, led by the Mineworkers Investment Company and key members of management, acting through Opalton Investments, had submitted to Peermont a firm intention to make an offer to acquire the entire issued ordinary share capital of the group for a total cash consideration of 1 290 cents per share.
However, while the L&R/Century proposal was expected to possibly result in a more favourable offer for Peermont, the company said on Monday that the L&R/Century Consortium had said it was not in a position to submit a firm offer containing terms more favourable than the Opalton offer. — I-Net Bridge