Johannesburg - The JSE was trading flat on Tuesday morning‚
with banks weighing after Absa Group [JSE:ASA] reported a 7% drop in headline
earnings per share.
DRDGOLD [JSE:DRD) reported that headline earnings per share
increased by 25% to 25c per share in the quarter ended December 31.
Newly listed Sibanye Gold (SGL) — which houses the Kloof
Driefontein Complex and Beatrix gold mines as well as various service companies
— gained more than 4% higher‚ adding to a slightly firmer gold index.
At 9:51am the all share index was flat (-0.07%) at 40‚804.00
points‚ with banks giving back 0.65% and gold counters lifting 0.09%.
On the international front the Japanese Nikkei 225 index
closed 1.94% stronger‚ due to some recent weakness in the yen.
Asian New Year holidays have kept global trade and
volatility constrained‚ Rand Merchant Bank said in a note.
“Conditions should remain much the same today given the lack
of any major data although President Obama’s state of the nation address will
receive a lot of attention overnight‚” RMB said.
“Global authorities continue to play down the risk of a
currency war. The Bundesbank chief said on Monday that the euro was not
meaningfully overvalued and warned politicians from talking down the currency.
Across the Atlantic‚ officials seem to have given a green light for Japan’s
stimulatory policy. And the rumour is that the G7 will‚ on the sidelines of the
G20 meeting this weekend‚ issue a statement aimed to cool currency rhetoric.
For the moment ’currency wars’ are at best a currency spat‚” the bank said.
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