Johannesburg - The JSE extended gains in midday
trade on Thursday, tracking the positive trend on global markets amid
renewed hopes that the eurozone will contain debt crises within member
states.
"I don't believe we are out of the bear market syndrome yet. But in the short term, I don't see any reason why we should drop further than we already have," said Ian Cruickshanks, market watcher at Nedbank Capital.
By 12:01 local time, the JSE All Share [JSE:J203] index had picked-up 1.61%, with Banks leading the way up 2.16%, resources lifting 1.90% and platinum miners gaining 1.46%. Gold lifted 1.11%, industrials were 1.37% higher, while financials generated 1.48%.
The rand was bid at 7.97 to the dollar, from 8.04 at the JSE's close on Wednesday. Gold traded at US$1,650.73 a troy ounce from US$1,610.62/oz at the JSE's previous close, while platinum was at US$1,506.50/oz, from US$1,438/oz previously.
"The market is rallying based on speculation that European banks would be saved should Greece default on its debt obligations," said Justin Louw, portfolio manager at BJM Private Client Services.
Dow Jones Newswires reported that European stocks rose on Thursday, with banks on the front foot again, on hopes that European policy makers were working towards recapitalising the region's banks.
The confidence came after German Chancellor Angela Merkel on Wednesday backed a coordinated recapitalisation of the region's banks. Merkel also suggested that the European Financial Stability Facility could be used, if national authorities don't have the necessary resources.
Traders said that while this was a step in the right direction, investors will want to see more action and less talk, if any kind of rally is to be sustained.
Espirito Santo Investment Bank had some reservations. It said: "A recap of the banks alone may not be adequate enough if Italy and Spain continue to show economic deterioration."
London's FTSE 100 was up 1.44% to 5,175.56 points.
Earlier, Asian stocks ended sharply higher, as regional commodity plays rallied amid positive cues from Wall Street after better-than-expected US jobs figures and European officials' growing acknowledgement of the need to recapitalise European banks.
Hong Kong's Hang Seng Index was among the region's biggest gainers, climbing 5.7% as the market returned from a holiday on Wednesday, while Japan's Nikkei Stock Average ended up 1.7%.
"I don't believe we are out of the bear market syndrome yet. But in the short term, I don't see any reason why we should drop further than we already have," said Ian Cruickshanks, market watcher at Nedbank Capital.
By 12:01 local time, the JSE All Share [JSE:J203] index had picked-up 1.61%, with Banks leading the way up 2.16%, resources lifting 1.90% and platinum miners gaining 1.46%. Gold lifted 1.11%, industrials were 1.37% higher, while financials generated 1.48%.
The rand was bid at 7.97 to the dollar, from 8.04 at the JSE's close on Wednesday. Gold traded at US$1,650.73 a troy ounce from US$1,610.62/oz at the JSE's previous close, while platinum was at US$1,506.50/oz, from US$1,438/oz previously.
"The market is rallying based on speculation that European banks would be saved should Greece default on its debt obligations," said Justin Louw, portfolio manager at BJM Private Client Services.
Dow Jones Newswires reported that European stocks rose on Thursday, with banks on the front foot again, on hopes that European policy makers were working towards recapitalising the region's banks.
The confidence came after German Chancellor Angela Merkel on Wednesday backed a coordinated recapitalisation of the region's banks. Merkel also suggested that the European Financial Stability Facility could be used, if national authorities don't have the necessary resources.
Traders said that while this was a step in the right direction, investors will want to see more action and less talk, if any kind of rally is to be sustained.
Espirito Santo Investment Bank had some reservations. It said: "A recap of the banks alone may not be adequate enough if Italy and Spain continue to show economic deterioration."
London's FTSE 100 was up 1.44% to 5,175.56 points.
Earlier, Asian stocks ended sharply higher, as regional commodity plays rallied amid positive cues from Wall Street after better-than-expected US jobs figures and European officials' growing acknowledgement of the need to recapitalise European banks.
Hong Kong's Hang Seng Index was among the region's biggest gainers, climbing 5.7% as the market returned from a holiday on Wednesday, while Japan's Nikkei Stock Average ended up 1.7%.