The JSE extended its gains and was more than 300 points stronger by midday on Tuesday with resource counters continuing to offer firm support.
The broader JSE all-share index had gained 1,57% led by resources firming 2,97% and gold miners edging up 0,12%. However, platinum counters lost 0,69%.
Banks edged up 0,47% while financials put on 0,61% and industrials collected 0,36%.
The rand was last bid at R9,39 to the dollar, from R9,34 when the JSE closed on Monday, while gold was last quoted at $845,10 a troy ounce from $851,20/oz at the JSE’s last close.
Platinum was at $943,50/oz from its previous close of $949/oz.
“For the third day this year, the JSE has stayed up,” a local trader said.
“It’s the resources that are keeping the market up. The Billitons and Anglos are up nicely.
“Market sentiment is turning to positive. The volatility index has halved in the last eight weeks and people are becoming less afraid of the market,” he noted.
“Most of the bad news has already been priced in and markets now are starting to stabilise and are looking better,” he added.
Dow Jones Newswires reports that London stocks climbed higher following the release of UK December services PMI, which came in better than consensus expectations.
Retailers were the surprise gainers of the morning session, with better than expected trading updates from UK retail bellwethers.
The FTSE 100 was last up 0,51%.
US stocks are expected to open modestly higher on the back of positive trading in Europe, said Mark Outten, a trader at GFT Global Markets.
He called the DJIA to open 45 points higher and the S&P 500 up 6,8 points.
On the JSE, resource giant Anglo American jumped R15,10, or 6,62%, to R243,10 and BHP Billiton added R7,10, or 3,78%, to R195.
Sasol collected R3,35, or 1,06%, to R318,35.
Paper group Sappi added 90 cents, or 2,43%, to R38 but rival Mondi lost 35 cents, or 1,01%, to R34,15.
ArcelorMittal was up R3,21, or 3,30%, to R100,46, Kumba Iron Ore rose R4,63, or 2,83%, to R168,30 and Highveld Steel firmed 69 cents, or 1,07%, to R64,93.
Gold miner Gold Fields gained R2,22, or 2,60%, to R87,72 but Harmony shed R1,32, or 1,38%, to R94,68.
Platinum miner Impala Platinum was off R2,33, or 1,55%, to R147,67 but Lonmin rose R10,40, or 7,19%, to R155.
Brewer SABMiller eased 91 cents to R164,03 and Imperial lost 65 cents, or 1,03%, to R62,30, but Barloworld added 50 cents, or 1,12%, to R45 and British American Tobacco gained R2,70, or 1,08%, to R252,50.
Banker Nedbank was up R1, or 1,02%, to R99,50 and FirstRand added 21 cents, or 1,32%, to R16,06.
Retailer Woolies firmed 20 cents, or 1,52%, to R13,40 and Massmart added 95 cents, or 1,08%, to R89,25, but Spar lost 93 cents, or 1,60%, to R57,07 and Steinhoff weakened 43 cents, or 3,35%, to R12,39.
Construction group Aveng rose R2,06, or 6,54%, to R33,56 and Group Five collected 89 cents, or 2,46%, to R37.
Cement manufacturer Pretoria Portland Cement gained 68 cents, or 2,27%, to R30,68.
Packaging group Astrapak weakened 60 cents, or 8,57%, to R6,40 but Nampak was up 38 cents, or 2,92%, to R13,39.
Telecommunications group MTN Group was up R2,20, or 1,95%, to R115,20 and Telkom edged up 23 cents to R115,23. — I-Net Bridge