JSE inches up on bargain hunting

Johannesburg - The JSE edged higher on Wednesday morning as a bit of bargain hunting hit the market.

A local trader said that the firmer open was expected after the losses of yesterday. Eastern markets were also displaying some strength and investors were taking direction from there.

At 09:18 local time, the JSE All Share [JSE:J203] index was up 0.15%. Gold stocks dropped 1.39%, while resources strengthened 0.14%, and platinum remained static (0.02%).

Financials moved up 0.29%, while banks and industrials picked up 0.13%.

The rand was bid at R7.91 to the dollar from R7.97 at the JSE's close on Tuesday. Gold traded at $1 668 a troy ounce from $1 666.25 at the JSE's previous close, while platinum was quoted at $1 551.50/oz, from $1 546.50/oz at the previous close.

Dow Jones Newswires reported that Asian shares were higher on Wednesday as investors cheered Apple's (AAPL) strong first quarter earnings results. Tech companies outperformed in Seoul and Tokyo on optimism over the earnings outlook for global companies, though sentiment remained cautious as worries about the Greek sovereign debt resolution persisted.

For the quarter ended December 31, Apple reported net income of $13.1bn, compared with net income of $6bn for the same period the previous year. Shares of Apple jumped nearly 8% in after-hours trading immediately following the results.

Investors may bid European stock markets higher to start on Wednesday with Apple's support, while also keeping a prudent stance while awaiting more eurozone events, data and the US Federal Reserve meeting. Bunds and gilts may edge a bit lower. The euro is marginally lower, while spot gold and oil futures are higher.