The JSE turned red at noon on Thursday on the back of a stronger rand but Sasol climbed after announcing it will hedge 30% of its synfuels production.
At noon the all-share index was off 0,47%. Resources lost 0,21%, the gold mining index fell 1,07% but the platinum mining index added 0,24%.
Industrials gave up 0,74%, financials shed 0,48% and banks were 0,83% in the red.
The rand was bid at 6,95 per dollar, from 7,02 when the JSE closed on Wednesday, while gold was quoted at $675,95 a troy ounce from $672,65/oz at the JSE’s last close
“We saw a turnaround of fortunes because the rand has broken through the seven per dollar level,” a Johannesburg-based dealer said.
He added that mixed performances on European markets provided no leads as to where investors should put their cash.
But petrochemicals group Sasol bucked the weaker tone on the local bourse and gained 3,52%, or R8,70, to R256.
Shortly after the bell, Sasol announced that it will hedge 45 000 barrels of oil per day or 30% of synfuels production for its 2008 financial year, which begins July 1 2007.
Gold miner Gold Fields shed 1,41%, or R1,81, to R126,19. It earlier reported net earnings excluding gains and losses on foreign exchange and exceptional items for the March 2007 quarter of R512-million compared with R564-million in the December 2006 quarter and R397-million for the restated March quarter of 2006.
Among other gold counters, AngloGold Ashanti fell R1,21 to R314,85 and Harmony was off 1,41%, or R1,81, to R126,19.
Offshore-listed resources heavyweights also fell. Anglo American gave up R1,21 to R376,99 and rival BHP Billiton was R1,50 in the red at R159,50.
Platinum miner Anglo Platinum added 1,30%, or R15,28, to R1 189,38 but Impala Platinum lost 81 cents to R232,50.
On the industrial front, industrial brands management group Barloworld was down 2%, or R3,95, to R193,55. The company has entered into, through its Barloworld Equipment division, a 50:50 joint venture transaction with its Caterpillar dealer counterpart in the Democratic Republic of Congo, Tractafric Equipment, it said earlier.
Services group Bidvest was 1,37%, or R2,02, weaker at R144,99. It said earlier that it has concluded an agreement to acquire 100% of the issued share capital of the companies Angliss Singapore, Angliss Hong Kong and Angliss China.
The purchase price for 100% of the issued share capital of Angliss (on an equity value basis) is approximately $80-million (R560-million) with a net asset value of $33-million (R231-million).
Mobile network provider MTN Group fell 1,73, or R1,80, to R102,20. The company is due to release its 2007 first quarter subscriber numbers later on Thursday and a brokerage house, JP Morgan, forecasts a total subscriber base of 43,3-million at the end of the quarter, which represents growth of 8,1% quarter-on-quarter and 79,1% year-on-year.
IT group Datatec climbed 5,88%, or R2,20, to R39,60. It earlier announced that its headline earnings and attributable earnings are both expected to be about 40 US cents per share, aided by a lower than expected tax rate, compared with the range of 35 to 38 US cents per share advised on March 14 — the date of its previous trading update. This compared with 26,91 US cents and 26,54 US cents respectively in 2006.
Also putting up a great show during the midday session were specialist banks Investec Ltd and Invetec plc after announcing that they were set to report strong performances for the year ended March.
Investec Ltd climbed 2,20%, or R2,20, to R102,40 while Investec plc surged 3,28%, or R3,35, to R105,50. ‒ I-Net Bridge