Share

JSE closes up, gold fall blunts gains

Johannesburg - South African stocks managed their third straight session in the black on Friday, cheered by the unveiling of lower-than-expected power price increases and a court dismissal of a bid to unwind Wal-Mart's $2.4bn acquisition of Massmart.

Upbeat US jobs data also help lift prices, although a sliding gold price hit producers such as Gold Fields.

The benchmark blue-chip Top 40 - (Tradeable) [JSE:J200] index added 0.43% to 30 100.61 while the broader All Share [JSE:J203] index climbed 0.5%, mirroring its Thursday performance, to end the week at 33 926.20.

For the Top-40, the 30 100 level is starting to look technically important. It has found recent support at that level and a clear break through it next week could signal a retest of its record highs.

The energy regulator said it had cut the increase in electricity rates for power utility Eskom to 16% for the 2012/13 financial year from a previously approved hike of 25.9%, a boost for the energy-intensive mining sector.

However, miners remained under pressure as gold fell 1% after robust US jobs data cut demand for what is normally regarded as a safe-haven investment.

Shares of world no. 4 producer Gold Fields lost 1.32% to R109.00.

"Investors are diversifying away from miners. The risk is huge. You've got the rand at play and the gold which has plunged. You don't want to get in there. It's too erratic at the moment," said Xoli Mokoena, a dealer at Global Trader.

Spot gold regained its footing after the Johannesburg market closed so producers may get a lift on Monday.

MTN Group, Africa's biggest telecoms group, added over two percent, building on momentum from Wednesday when it jacked up its dividend cover.

"Investors are not looking to get into mining and are looking to invest in something else, the likes of MTN, which have shown a bit of strength in the past few weeks," Mokoena said.

Friday's biggest blue-chip gainer was insurer Sanlam , which closed almost 3% higher at R32.17, extending its strong rise from Thursday when it announced a 13% dividend increase.

Advancers outnumbered decliners 185 to 97 and 79 shares were unchanged.
We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.94
-0.2%
Rand - Pound
23.93
-0.2%
Rand - Euro
20.45
+0.1%
Rand - Aus dollar
12.36
-0.1%
Rand - Yen
0.13
-0.2%
Platinum
911.00
+1.6%
Palladium
1,012.02
+1.0%
Gold
2,215.47
+0.9%
Silver
24.79
+0.6%
Brent Crude
86.09
-0.2%
Top 40
68,346
+1.0%
All Share
74,536
+0.9%
Resource 10
57,251
+2.9%
Industrial 25
103,936
+0.6%
Financial 15
16,502
-0.1%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders