JSE flat‚ minders weigh
Johannesburg – The JSE was flat on Tuesday morning‚ after reaching an all-time high on Monday‚ with banks providing a bit of support‚ while platinums and gold miners weighed due to improved market sentiment in the US.
At 10.03am‚ the all-share index was flat (-0.04%) at 40‚601.38 points‚ with banks adding 0.10%. Gold miners were down 1.12% and platinums shed 1.39%.
Meanwhile the rand is still trading above the R9.00 level to the dollar‚ trading at R9.0997 to the greenback.
“We have heard many explanations for rand/dollar’s spike from R9.00 to an overnight high of R9.13. The rumour that a miner had been shot‚ the decision by Amplats to postpone its retrenchment plan‚ a large US order that hit the market and the strong US durable goods figure. The actual cause is probably not important; the real take-away is that the market is still exceptionally nervous and so prone to run at the slightest chance‚” Rand Merchant Bank said in a morning note.
“Theoretically‚ we should be looking at some rand recovery today‚” RMB said.
“The focus on Tuesday will be on the US consumer confidence number out at 3pm local time. The big number on Wednesday is 4Q12 GDP and Friday’s big number will be January’s non-farm payrolls‚” the bank said.
On the JSE‚ Amplats (AMS) dropped 1.12% to R435 and Impala Platinum (IMP) gave back 2.38% to R161.50. Aquarius (AQP) gained 4.17% to R10.
Gold Fields (GFI) shed 2.88% to R104.10.
In financials Santam (SNT) gained 1.15% to R188. - I-Net Bridge