Firmer JSE tracks global markets

The JSE began the final quarter of the year firmer on Monday, briefly touching 56,000 points as it tracked buoyant global equity markets.

Miners and big industrial stocks pushed the local bourse higher as the rand weakened, while retailers came under pressure. Much focus was on US monetary policy, with the pricing of a December interest-rate hike at a record high of 82% on Monday, said Rand Merchant Bank analysts.

While the dollar remained historically expensive, its upside was surely limited, said Old Mutual MultiManagers strategists Dave Mohr and Izak Odendaal. However, they said, further domestic interest-rate cuts were unlikely to spur a consumption boom due to low levels of confidence.

The all share closed 0.36% higher at 55‚778.30 points and the benchmark top 40 added 0.47%. The platinum index rose 1.68%‚ resources 1.23% and industrials 0.20%. General retailers shed 2.2%‚ food and drug retailers 1.53%‚ the gold index 0.97%‚ banks 0.27% and financials 0.12%.

Anglo American rose 2.06%, to R247.41‚ Glencore 2.05%, to R63.25 and BHP 1.47%, to R242.14. AnheuserBusch InBev rose 0.87%, to R1‚616 and Remgro 1.20%, to R207.80. Northam Platinum added 2.89%, to R48.08 and Impala 1.29%, to R31.40.

Pick n Pay ended the day 1.81% lower at R56.57‚ Woolworths 2.12%, at R58.62 and Mr Price 2.43% at R175.67.

Pick n Pay said in a trading statement that headline earnings a share for the 26 weeks to August 27 would be at least 19c‚ or 20%‚ lower than the 82.43c reported in the previous matching period. Naspers gained 1.82%, to R2‚973. The Dow was up 0.22% shortly after the JSE’s close and the Nasdaq 0.43%. European markets were firmer‚ with the FTSE 100 up 0.72%‚ the DAX 30 0.34% and the CAC 40, 0.24%.

Brent crude was down 1.88%, to $55.65 a barrel. Gold was off 0.48%, to $1‚273.62/oz‚ while platinum had added 0.1%, to $910.88.

The rand was at R13.62 to the dollar from R13.51. The top-40 Alsi futures index gained 0.46%, to 50‚367 points.