Platinums rebound in choppy trade on JSE

THE JSE closed flat in choppy trade yesterday as the market sought direction from a stronger rand‚ amid general emerging-market optimism.

The volumes traded were low – at R10.9-billion at the close compared to an average trading day of R20-billion.

The rand firmed more than 20c to the dollar during the course of the day‚ reaching its best level this month‚ of R13.1548.

After a firm opening‚ the allshare lost steam at midday, with platinum shares losing traction before recovering at the close as commodities gained on firmer oil prices.

Platinum stocks were firmer as the platinum price gained ‚ after the World Platinum Investment Council announced earlier that overall platinum supply was projected to fall 2% year on year this year.

The market gave little attention to the controversial reappointment of Brian Molefe as Eskom chief executive.

The stronger rand supported banks ahead of ratings agency Moody’s decision on South Africa’s credit rating‚ which could come as early as this week. However‚ retailers were weaker in risk-off trade.

The all-share closed 0.02% off at 54 052.2 points and the blue-chip Top 40 rose 0.01%.

The gold index shed 1.06%‚ food and drug retailers 0.67% and general retailers 0.38%. Platinums rose 1.5%‚ resources 0.74% and banks 0.36%.

Stanlib said the rand hedges were leading the market so far this year, including Naspers‚ British American Tobacco and Anheuser-Busch InBev.

Anglo American lifted 1.64% to R182.77 and Glencore 1.83% to R50.17.

Barloworld jumped 5.09% to R119.99. Anglo American Platinum lifted 3.84% to R324.50, but Lonmin was down 11.56%.