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Johannesburg - The JSE remained stronger at noon on Wednesday as investors put aside bubbling concerns over Japan and concentrated on bargain-hunting instead.
"We are bouncing back from oversold levels," said Mpho Mojalefa, a trader at BJM Private Client Services, adding that the rand was playing a part in the local market's strength.
By 12:04 local time, the JSE all-share index was up 0.95%, with platinum miners gaining 1.53%, resources raising 1.02% and gold counters firming 0.88%. Industrials were 0.98% higher, financials added 0.72% and banks rose 0.87%.
The rand was bid at 7.00 to the dollar from 6.94 at the JSE's close on Tuesday. Gold was quoted at US$1 399.57 a troy ounce from US$1 403.11/oz at the JSE's previous close, while platinum was at $1 697.00/oz from $1 708.00/oz before.
"We are likely to see more volatility this week. I don't think we are out of the woods yet," Mojalefa said.
Dow Jones Newswires reported that European stocks rose on Wednesday, taking their lead from a rebound in Asian markets, with autos leading the advance as investors took the opportunity to buy back into recently battered stocks.
By 09:10 GMT, the Stoxx Europe 600 index was up 0.7% at 268.05, London's FTSE 100 index was up 0.1% at 5 699.23 and Paris's CAC-40 was 0.3% higher at 3 793.23. Frankfurt's DAX outperformed the rest of the European markets, however, and was up 1.1% at 6 722.38. Traders noted that the DAX is one of the most closely linked of the European indexes to Japan, given its high levels of trade with the country and its exposure to nuclear power.
"While markets will continue to be nervous in the face of uncertainty about the possibility of further leaks from damaged nuclear facilities, we remain positive on the outlook for global growth and for equity markets in general and we do not see the catastrophe in Japan as having a negative impact on the medium-term growth prospects of the world economy," said Exane BNP Paribas.
Despite the generally positive tone and a calmer assessment of the Japanese situation, traders noted that the situation in Libya and the Middle East remained unstable, as tensions in Bahrain escalated. At the same time, European sovereign debt concerns remained on investors' minds, particularly after Moody's downgraded Portugal's long-term government bond ratings.
"We are bouncing back from oversold levels," said Mpho Mojalefa, a trader at BJM Private Client Services, adding that the rand was playing a part in the local market's strength.
By 12:04 local time, the JSE all-share index was up 0.95%, with platinum miners gaining 1.53%, resources raising 1.02% and gold counters firming 0.88%. Industrials were 0.98% higher, financials added 0.72% and banks rose 0.87%.
The rand was bid at 7.00 to the dollar from 6.94 at the JSE's close on Tuesday. Gold was quoted at US$1 399.57 a troy ounce from US$1 403.11/oz at the JSE's previous close, while platinum was at $1 697.00/oz from $1 708.00/oz before.
"We are likely to see more volatility this week. I don't think we are out of the woods yet," Mojalefa said.
Dow Jones Newswires reported that European stocks rose on Wednesday, taking their lead from a rebound in Asian markets, with autos leading the advance as investors took the opportunity to buy back into recently battered stocks.
By 09:10 GMT, the Stoxx Europe 600 index was up 0.7% at 268.05, London's FTSE 100 index was up 0.1% at 5 699.23 and Paris's CAC-40 was 0.3% higher at 3 793.23. Frankfurt's DAX outperformed the rest of the European markets, however, and was up 1.1% at 6 722.38. Traders noted that the DAX is one of the most closely linked of the European indexes to Japan, given its high levels of trade with the country and its exposure to nuclear power.
"While markets will continue to be nervous in the face of uncertainty about the possibility of further leaks from damaged nuclear facilities, we remain positive on the outlook for global growth and for equity markets in general and we do not see the catastrophe in Japan as having a negative impact on the medium-term growth prospects of the world economy," said Exane BNP Paribas.
Despite the generally positive tone and a calmer assessment of the Japanese situation, traders noted that the situation in Libya and the Middle East remained unstable, as tensions in Bahrain escalated. At the same time, European sovereign debt concerns remained on investors' minds, particularly after Moody's downgraded Portugal's long-term government bond ratings.
