/ 23 July 2007

JSE slightly higher in quiet trade

Stocks rose slightly at midday on Monday, reversing earlier losses, but overall trading was muted ahead of another wave of corporate earnings reports and inflation data later in the week.

At noon, the all-share index was up just 0,09%, thanks to a 1,06% gain in the platinum-mining index. Resources rose 0,25% but the gold-mining index was off 0,63%. Industrials gave up 0,04%, financials shed 0,02% while banks added 0,48%.

The rand was bid at 6,83 to the US dollar from R6,88 when the JSE closed on Friday, while gold was quoted at $683,85 a troy ounce from $682,50 at the JSE’s last close.

“Nobody wants to take long position ahead of inflation data and the corporate earnings starting this week,” said Emanuel Ndlovu, an equities trader at T-Sec.

Investors will be watching the release the June CPI and PPI on Wednesday and Thursday respectively. Also due out this week, are earnings reports from blue

chip stocks such as Kumba Iron Ore, Hulamin and Lonmin.

At midday, synthetics fuels maker Sasol was among the blue chips’ top gainers, buoyed by sustained strength in the oil price. Sasol climbed 1,61%, or R4,60, to a fresh trading high of R289,85. It earlier achieved a high of R292.

Boosted by stronger white metal prices, miner Anglo Platinum was 1,10%, or R12, in the black at R1 098 and rival Impala Platinum was up 1,54%, or R3,46, to R227,46.

However, Lonmin was down R4 to R516,55. The company releases its third quarter production report Thursday.

Iron ore miner Kumba, which releases its interims on Friday, was off 60 cents at R184,40 and aluminium group Hulamin was up 1,17%, or 30 cents, to R26. Hulamin said late on Friday that it expects to post a first half loss of R70-million, or 33 cents per share. It reports on Tuesday.

On the resource index, Anglo American shed 90 cents to R449 and BHP Billiton gained 50 cents to R210,50.

Among banks, Absa was up 1,18%, or R1,57, to R134,60 after saying that it expects headline earnings per share and earnings per share for the six months ended June to be between 22% and 27% higher than the same time a year ago.

Rumoured takeover target Nedbank was up R1 to R144 and Standard Bank added 42 cents to R106,65. – I-Net Bridge