The JSE remained flat by noon on Tuesday in what a trader said was an attempt to consolidate some of its recent big moves.
The JSE all-share index had edged down 0,23%, with resources flat, down 0,11% and platinum counters losing 2,15%. However, gold miners gained 1,64%.
Banks gave up 2,48%, financials lost 1,09% and industrials eased 0,19%.
The rand was last bid at 8,43 to the dollar from 8,44 when the JSE closed on Monday. Gold was quoted at $918,90/oz a troy ounce from $914,27/oz at the JSE’s last close, and platinum was at $1 129,50/oz, from $1 117 at its previous close.
“We are flat at the moment, the market is trying to consolidate after its recent big moves to the upside,” a trader said.
“We saw the Dow pull back a bit yesterday. It’s not surprising to see some profit taking on the market.
“However, we are seeing some buying in some places. The gold stocks are holding steadily. The rand has weakened slightly and the rand-hedged stocks are responding to that.
“Banking shares are still lethargic, they are coming off a bit. But overall, it’s still positive out there,” he said.
Dow Jones Newswires reports that the FTSE 100 moved lower, unable to hold gains in a relatively quiet session with the index seeking further direction to push higher, traders noted.
Banking stocks are under pressure, weighing on the index and cancelling out much of the gains seen in the other sectors, said David Jones, strategist at IG Index.
The FTSE 100 had last eased 0,23%.
US stocks are expected to open firmly up says David Morrison at GFT, after US futures turned around from earlier lows.
He called the DJIA up 60 points and the S&P 500 up 6,25 points.
He expects volatility as the market rally runs into resistance.
“We expect a big tussle between the bears and bulls over the coming weeks,” he said.
On the JSE, Anglo American edged up 64 cents to R202,90 and BHP Billiton collected 22 cents to R192,21.
Petrochemicals group Sasol gave up R5,30, or 1,76%, to R296,20.
ArcelorMittal put on R3,33, or 3,78%, to R91,33.
Among gold miners, AngloGold Ashanti collected R6,45, or 2,11%, to R311,85, Gold Fields added R1,39, or 1,34%, to R104,79 and Harmony firmed R1,06, or 1,22%, to R88,05.
Platinum miner Anglo Platinum lost R7, or 1,41%, to R488, Impala Platinum was down R3,50, or 2,01%, to R170,50 and Lonmin fell R7,49, or 4,03%, to R178,51.
In diversified miners, African Rainbow was off R2,95, or 2,17%, to R133,05 and Hulamin weakened 20 cents, or 1,90%, to R10,30.
Among industrials, brewer SABMiller was up R1,47 to R155,20 and Barloworld gained R1,10, or 2,98%, to R38, but Tiger Brands lost R2, or 1,50%, to R131,50.
Banker Standard Bank was down R2,10, or 2,54%, to R80,50, Nedbank lost R2,20, or 2,47%, to R86,80, Absa gave up R1,64, or 1,67%, to R96,61 and FirstRand weakened 29 cents, or 2,21%, to R12,81.
Financial services group Old Mutual was up 25 cents, or 2,84%, to R9,06 and Sanlam was barely changed, up 2 cents, to R17,28.
Coronation Fund Managers was unchanged at R5,60. It earlier reported a 16% decline in diluted headline earnings per share to 20,2 cents for the six months ended March from 24 cents a year ago. An interim cash dividend of 13 cents was declared.
Assets under management declined by a respectable 4% to R120-billion at March 31 from R125-billion at September 30 2008, the company said, demonstrating encouraging resilience during a time in which the FTSE/JSE All-Share Index declined by 13% and the MSCI World Index by 20%.
Revenue declined by 14% to R363-million as asset values contracted in the extremely difficult operating environment.
The containment of fixed costs with leverage from declining variable costs positively impacted operating costs which declined by 14% to R231-million.
Profit from asset management declined by 22% to R122-million.
Media group Naspers lost R2,30, or 1,25%, to R182,20.
Among retailers, Woolies was off 30 cents, or 2,40%, to R12,20 and JD Group lost R1,09, or 3,10%, to R34,05.
Massmart lost R1,15, or 1,47%, to R76,95. It earlier reported that for the 44 weeks to 3 May total sales increased 11,8% to R36,7-billion over the prior period, and comparable store sales grew 9,7%. Inflation for the period is estimated at 11,8%.
For the period, Massdiscounters’s sales grew 12,5% with inflation of 4,6%, Masswarehouse grew 12,5% with inflation of 13,4%, Massbuild grew 0,3% with inflation of 12,5% and Masscash grew 15,9% with inflation of 16,7%.
In Massdiscounters the recent strength of the local currency has reduced the rate of growth of Game’s African stores when reported in rands, although this growth remains very strong, the group noted.
However, Spar added 89 cents, or 1,66%, to R54,60.
Liberty International was up 85 cents, or 1,67%, to R51,60.
Construction group Aveng shed R1,04, or 3,27%, to R30,76 and WBHO was off R2,51, or 2,38%, to R102,99.
Cement manufacturer Pretoria Portland Cement was down R1,14, or 3,59%, to R30,60. It earlier reported diluted headline earnings per share of 20,3 cents for the six months ended March, down from 125,6 cents previously. Diluted HEPS excluding BBBEE IFRS 2 charges came in at 105 cents compared with 125,6 cents before.
PPC declared an unchanged interim dividend of 45 cents per share. The company expects to maintain dividend cover for the full year in the stated range of 1,2 to 1,5 times based on earnings before the IFRS 2 charges resulting from the BBBEE transaction.
Pharmaceutical company Aspen Pharmacare shed R2,66, or 5,25%, to R48,04. It earlier announced that it has agreed the terms to a series of strategic interdependent transactions with leading multinational pharmaceutical group, GlaxoSmithKline.
The deals are valued at R3,47-billion.
The transactions comprise the acquisition of the rights to distribute GSK products in South Africa by Aspen’s wholly owned subsidiary, Pharmacare, and the formation of a collaboration arrangement in relation to the marketing and selling of prescription pharmaceutical products in sub-Saharan Africa, excluding South Africa, Lesotho and Swaziland, between Aspen and GSK, to be known as GSK Aspen Healthcare for Africa.
Telecommunications group MTN Group gave up 80 cents to R108,20 but Telkom edged up 69 cents to R113,64.