/ 29 June 2007

JSE retracing from firm opening

The JSE was firmer in the morning, but started retracing at about midday on Friday. However, traders expect the market to strengthen near the day’s close.

At noon, the all-share index was down 0,69%. Resources weakened 0,99%, while gold and platinum indices fell 1,15% and 1,52 % respectively. Industrials eased 0,39% and financials shed 0,57%. Banks pulled back 0,39%.

The rand was bid at R7,06 to the dollar from R7,08 when the JSE closed on Thursday, while gold was quoted at $648,35 a troy ounce from $649,55 at the JSE’s last close.

“The JSE started firm, but started retracing around noon. At the end of the day we should see a little strength in the JSE. Currently, the retraction is probably due to volatility in the market,” said a Johannesburg-based analyst.

She added that markets internationally were also flat and that Asia had also pulled back after its opening.

On the resource index, Anglo American fell 1,16%, or R4,79, to R408,10 and BHP Billiton retreated R1,55 to R194,95.

Among gold counters, Anglogold Ashanti shed 1,48%, or R3,93, to R261,50 and Gold Fields fell 65 cents to R109,50.

Platinum miner Anglo Platinum weakened R23,99 to R1 167 and Impala Platinum eased 1,67%, or R3,67, to R216,05.

Elsewhere, IT company Business Connexion was down 7,10%, or 55 cents, to R7,20. Its share price slumped more than 9% on Friday morning after the Competition Tribunal blocked a R2,4-billion takeover bid by fixed-line phone operator Telkom.

Among banks, Nedbank eased R1 to R132,51.

Petrochemicals giant Sasol had no change at midday and traded at R260,50, and breweries giant SAB Miller fell R2,05 to R175,60. — I-Net Bridge