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Johannesburg - The JSE extended its early gains by noon on Thursday, but a local dealer noted some volatility in the market fuelled by uncertainty over whether to take profits following two days of good gains.
A local trader said that eyes would turn to the European Central Bank's (ECB) interest rate announcement at 13:30 GMT for further direction.
By noon local time, the JSE all share index was up 0.62%, with resources 1% stronger, while platinum mining indexes gained 0.40. Gold however, shed 0.71%.
Industrials advanced 0.33%, banks collected 0.30% and financials were 0.40% firmer.
The rand was trading at 7.17 to the dollar from 7.14 at the JSE's close on Wednesday. Gold was quoted at US$1 329.43 a troy ounce from US$1 335.69/oz at the JSE's previous close, while platinum was at $1 825.50/oz from $1 832.50/oz before.
"There does seem to be some volatility in the market as a result of uncertainty as to whether or not to take profits after two really good days on the local bourse. At once stage we were only ten points up, but have since bounced to 200 points.
"Investors will be listening to the ECB interest rate announcement for tone on inflation, while US unemployment data is also out later," he said.
Dow Jones Newswires has reported that European stocks opened lower on Thursday, failing to extend their recent gains as traders sought to reduce their exposure to risky investments amid uncertainty about the political future of north Africa and the Middle East and the consequences for the world's largest economies.
Asian shares were mixed on Thursday after sluggish leads from Wall Street and renewed violence in Egypt stymied demand, but insurance shares in Sydney rose as a tropical cyclone that struck the country early in the day caused less damage than first feared.
Japan's Nikkei Stock Average was off 0.3%, and Australia's S&P/ASX 200 was 0.5% higher. Markets in China, Hong Kong, South Korea, Taiwan, Singapore, Malaysia, Indonesia and Vietnam were shut for the lunar new-year holidays.
Trading was subdued, owing to the closure of most regional markets, while investors were also cautious after turmoil in Egypt took centre stage again amid violent clashes between pro- and anti-government demonstrators on Wednesday. Crowds, not satisfied with President Hosni Mubarak's pledge to step down from power after his term expires later this year, called for his nearly 30-year reign to end immediately.
Watch for: EU December retail trade; 12:45 GMT, ECB interest rate announcement; 13:30 GMT, ECB governing council meeting press conference; 13:30 GMT, US January 29 unemployment insurance claims report - initial claims.
