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Johannesburg - South African stocks ended a choppy session little changed on Wednesday as investors refrained from making large moves ahead of the outcome of a US Federal Reserve meeting.
But major gold miners climbed between 3% and 4% as a tumbling domestic currency provided support.
The rand fell three percent during the session, a boost to gold miners whose product brings in dollars but whose domestic costs are mainly in rand.
The JSE Top-40 (Tradeable) [JSE:J200] blue-chip index inched down 0.17% to 27 996.23 and the broader All Share [JSE:J203] index was 0.1% lower at 31 311.17.
“We are seeing a little bit of a pull back but I don’t think much can be read into that at the moment,” said Ferdi Heyneke, portfolio manager at Afrifocus Securities.
“If one looks a the bigger picture here there’s potentially still high levels than can still come through but that is going to depend on what comes out of the Fed’s meeting.”
The Federal Reserve’s two-day meeting ends later on Wednesday and is expected to result with a decision to stock up on longer-term Treasury notes in a bid to boost a fading economic recovery.
With the United States at risk of a new recession and the political climate in Washington making prospects for fiscal stimulus uncertain, the Fed has made it clear it is intent on taking steps to lift growth, even if only modest ones.
In Johannesburg, gold miners topped the gainers’ list with Harmony up R4.55% to R106 and rival Gold Fields rising 4.45% to R141.01.
On the flipside, retailers were among the worst performers after analysts said consumer demand was losing momentum even after official data showed monthly retail sales grew nearly 3%.
Clothing and high-end food merchant Woolworths skidded 4.97% to R36.87 and apparel retailer Truworths was off 2.41% at R75.14.
But major gold miners climbed between 3% and 4% as a tumbling domestic currency provided support.
The rand fell three percent during the session, a boost to gold miners whose product brings in dollars but whose domestic costs are mainly in rand.
The JSE Top-40 (Tradeable) [JSE:J200] blue-chip index inched down 0.17% to 27 996.23 and the broader All Share [JSE:J203] index was 0.1% lower at 31 311.17.
“We are seeing a little bit of a pull back but I don’t think much can be read into that at the moment,” said Ferdi Heyneke, portfolio manager at Afrifocus Securities.
“If one looks a the bigger picture here there’s potentially still high levels than can still come through but that is going to depend on what comes out of the Fed’s meeting.”
The Federal Reserve’s two-day meeting ends later on Wednesday and is expected to result with a decision to stock up on longer-term Treasury notes in a bid to boost a fading economic recovery.
With the United States at risk of a new recession and the political climate in Washington making prospects for fiscal stimulus uncertain, the Fed has made it clear it is intent on taking steps to lift growth, even if only modest ones.
In Johannesburg, gold miners topped the gainers’ list with Harmony up R4.55% to R106 and rival Gold Fields rising 4.45% to R141.01.
On the flipside, retailers were among the worst performers after analysts said consumer demand was losing momentum even after official data showed monthly retail sales grew nearly 3%.
Clothing and high-end food merchant Woolworths skidded 4.97% to R36.87 and apparel retailer Truworths was off 2.41% at R75.14.
