JSE flat and close to its all time high
South Africa / 23 Nov '12, 10:34am
The JSE opened flat on Friday off its all-time high reached in the Thursday session‚ with gold miners in the lead due to solid manufacturing data out of China and the US on Thursday‚ with China being the biggest consumer of gold this year.
At 9.36am‚ the all-share index was flat (-0.04%) at 37‚828.98 points‚ with the top 40 index also flat (-0.05%) at 33‚596.72%.
The JSE. Photo: Simphiwe Mbokazi. Credit: Independent Newspapers
The global backdrop remains favourable‚ with the euro powering ahead to its strongest level in three weeks and equity markets on the increase‚ Rand Merchant Bank said in a note.
“We look for some nervous trading today‚ which should keep the rand from breaking the R8.90 to the dollar level. The euro is shrugging off yesterday’s negative data as hopes remain high that the EU finance ministers are close to reaching a deal on Greece‚ while a successful Spanish bond auction further added to optimism. Europe’s preliminary PMI number was nearly unchanged from the previous month‚ only ticking up by 0.1 index points in November to 45.8‚” RMB said.
“US markets will resume trade today — termed Black Friday — after Thursday’s Thanksgiving holiday‚ which may provide additional liquidity to markets and could see some dollar strength. Black Friday is the name given to the day following Thanksgiving and traditionally marks the beginning of the US Christmas shopping season. Recent data out of the US suggest that the consumer is in good shape with measures of consumer confidence having picked up to levels last seen before the great recession‚” the bank said.
Local counters that moved were ArcelorMittal (ACL) adding 1% to R30.30 and Coal of Africa (CZA) up 4.92% to R1.92.
Among telecoms MTN Group (MTN) dipped 0.27% to R167.72‚ while Vodacom (VOD) added 0.5% to R120.50
Both Standard Bank (SBK) and Absa (ASA) retreated 0.69% to R105.89 and R140.97 respectively and RMB Holdings (RMH) gave back 1.03% to R39.27. - I-Net Bridge