The JSE all-share index was in positive territory at midday on Friday as the gold-mining index shone brightly on the local bourse after tracking Shanghai on Friday night, which was up 4%, according to a local trader.
At noon the all-share index was up 0,62%. Resources gained 0,85% and the gold and platinum mining indices added 1,01% and 0,13% respectively. Banks improved 0,84%, financials gained 0,67% and industrials were 0,31% higher.
The rand was bid at 6,87 to the US dollar from R6,84 when the JSE closed on Thursday, while gold was quoted at $676,80 a troy ounce from $675 at the JSE’s last close.
“Shanghai was up 4% last night [Thursday], and they are very much into gold, so JSE gold shares were up and so were resources. We followed suite and did better with resources having a good run today, and both the gold and platinum mining
indices were firmer,” said a Johannesburg-based trader.
He added that Brent crude was also up, leading the way for Sasol shares to advance. The trader concluded that oil could also be a driver for resources.
Anglo American was up R5,50 to R454,50 and BHP Billiton added 0,65% to R211,86.
BHP Billiton has reportedly abandoned interest in buying aluminium giant Alcoa despite global speculation that it was mulling a bid of between $40-billion and $50-billion. The Australian reported on Friday that Alcoa’s shares plunged after BHP Billiton’s “bid evaporates”. This followed a report that Alcoa, the world’s second largest aluminium producer, was “no longer a target of interest” for Melbourne-based BHP Billiton.
Gold miner Anglogold climbed R5,48 to R312,02 and Gold Fields climbed R1,13, to R125,02.
Among platinum stocks, Anglo Platinum weakened R7,80 to R1 084,20, Lonmin eased R4,20 to R529 and Impala Platinum surged 0,74%, or R1,69, to R228,70.
Elsewhere, fixed-line phone operator Telkom added R1 to R170,50 and cellphone network provide MTN Group added 85 cents to R102,35.
Shares in Nedbank jumped 0,70% to R143, Standard Bank rose R1,34 to R106,99, Absa was up R1,35 to R132,99 and FirstRand added five cents to R23,65.
Diversified industrial group Barloworld climbed 0,79% to R128 and Remgro gained 0,38% to R185,70.
Industrial company Barloworld announced on Friday that it would be selling certain parts of its coatings business in Australia, including the Villawood factory, to PPG for net asset value. This follows the turning down of a proposed acquisition by the Australian competition authorities last year.
In life insurance, Discovery pulled back 0,54% to R29,59 and Old Mutual added 1,13% to R25,06. – I-Net Bridge