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JSE flat‚ but general miners pick up

Aug 07 2012 13:45 I-Net Bridge

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Johannesburg - The JSE was flat at noon‚ after having started the day on a positive note. General resource shares‚ however‚ continued to make good gains.

“There is a view that resources present the best value compared to retailers‚ which appear fully priced at current valuations‚” said David Shapiro‚ director at Sasfin Securities.

European stock markets‚ along with their Asian peers‚ were firmer despite economic news remaining fairly light.

At 12:42 local time the JSE all-share index was flat at 35‚468.39 points.

Among the big movers‚ Anglo American [JSE:AGL] gained R6.70‚ or 2.72%‚ to R252.70 and BHP Billiton [JSE:BIL] added R3.07‚ or 1.24%‚ to R249.87.

Stanlib said in a note that given that BHP Billiton and Anglo together comprised over 20% of the top-40 index‚ a recovery in mining shares may be needed to push this index to a new record high.

Lonmin [JSE:LON] lifted R2.34‚ or 2.50%‚ to R96.08.

Coal of Africa Limited [JSE:CZA] was up 19 cents or 5.44%‚ to R3.49 after company announced it had raised $44m through an equity placement to fund the ramp-up of its Vele Colliery in Limpopo.

The proceeds will also be used for pre-mining right capital expenditure at its Makhado project‚ also in Limpopo‚ and for additional drilling activities.

African Bank Investment [JSE:ABL] was down R1.30‚ or 3.49%‚ to R35.90

market  |  jse
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