[2008-08-21]  JSE higher as commodities rebound
SOUTH African stocks bounced back yesterday, supported by miners as commodity prices remained firm, while an upbeat tone in overseas markets added to the positive mood, traders said.

The all share index ended 1,99% higher, led by a 4,62% rise in the resources index, a 3,43% gain in the platinum mining index and a 1,76% increase in the gold mining index. Banks were off 1,36%, financials added 0,18% and industrials gave up 0,42%.

Gold was quoted at $809,05/oz from $794,40/oz at the JSE’s last close. Platinum was last trading at $1367/oz — up $15/oz from its overnight close.

“Gold managed to hold on above the $800 level on the back of small gains in the price of oil and a dip in the dollar, but there’s still a degree of uncertainty in the commodity complex," one trader said.

In the US, stocks turned positive in early trade yesterday as a build up in crude oil supplies eased fears of global inflation.

On the JSE, resource giant Anglo American (AGL) was up R13,60, or 3,48%, at R404,25 and BHP Billiton (BIL) added R16,75, or 7,60%, to R237.

Synthetic fuels maker Sasol (SOL) recovered R16,25, or 4,20%, to R403. Gold miner AngloGold Ashanti (ANG) was R4,85, or 2,40%, firmer at R207,01, Harmony (HAR) climbed R3,30, or 5,73%, to R60,85, but Gold Fields (GFI) fell R1, or 1,47%, to R67,25.

Among platinum miners Anglo Platinum (AMS) was up R57, or 6,86%, to R888 and Impala Platinum (IMP) gained R4, or 1,90%, to R215.

Among industrials, brewer SABMiller (SAB) was off R1,60 at R162,40, but Remgro (REM) was up R3, or 1,60%, to R190.

Banking group Absa (ASA) slumped R5,30, or 4,94%, to R102 and Nedbank (NED) lost R1,60, or 1,54%, to R102,40.

In earnings news, marine shipping group Grindrod (GND) was up 80c, or 3,43%, at R24,1.

Apparel retailer Truworths (TRU) fell R1,16, or 3,78%, to R29,49.

Cellphone services provider MTN Group (MTN) sank R3,19, or 2,68%, to R116,01.

Pallinghurst Resources (PGL), the investment fund chaired by South African and former BHP Billiton CEO Brian Gilbertson, which debuted on the JSE yesterday morning, closed at R9,20. Its first trade was at R8.

South African near-dated futures rallied yesterday on the back of a recovery in commodity prices and firmer world markets.

After three sessions in the red, the near-dated Alsi contract ended 458 points or 1,89% higher at 24630.

A total of 38504 Alsi contracts changed hands compared with 60891 on Tuesday, a Safex official said.

South African white maize futures ended limit up yesterday , driven by high overnight trade on the Chicago Board of Trade (CBOT).

“The market ended higher on the back of CBOT, which was well supported in overnight trade,” a grains trader said.

The September white maize contract gained R45 to R1928 a ton, December gained R45 to R2019 and the in-delivery August contract also climbed R45 to R1915.

Another trader said there was a lot of speculation on the effect the cold weather could have on the US crop, and buyers were therefore opting to trade higher because of feared weather damage.

Dow Jones Newswires reported that CBOT grain and soybean futures were higher in overnight electronic trading as the markets developed a bullish response to Tuesday’s mixed trading signals.

“It’s hard to find people that want to trade into this volatility,” a CBOT floor analyst said.

December maize overnight was up 6c to $5,90½ a bushel, November soybeans rose 21¼c to $12,97¼ , and September wheat added 9c to $8,54¼ .
Source: Copyright © 2005 BDFM Publishers (Pty) Ltd.