Johannesburg - The JSE followed world markets firmer on Monday, with resources leading the way, as Asian markets rebounded following news that the US had reached a deal on its debt ceiling.
By 09:10 local time, the JSE All-share [JSE:J203] index was 0.89% higher, with resources up 1.31% and platinum miners advancing 1.06%. However, gold miners were off 0.38%.
Banks were 1.1% stronger, financials advanced 0.83% and industrials collected 0.57%.
The rand was bid at R6.66 to the dollar, from R6.70 at the JSE's close on Friday. Gold was quoted at $1 614.29 a troy ounce from $1 627.16/oz at the JSE's previous close, while platinum was at $1 799/oz, from $1 784.50/oz previously.
A local trader said the announcement that everyone had been waiting for had at last come - and all the markets were up on the back of that.
"But let's see where the market will consolidate. The rand is still pretty strong, and we are seeing some of the gold stocks pulling back a bit. But everything else a quite rosy," the trader said.
"There is brightness on the horizon - for now. But there are still lot of issues out there - including the European debt crisis. But for now we are seeing a bit of relief," she added.
Dow Jones Newswires reported that Asian shares rallied on Monday as President Barack Obama confirmed a deal to raise the debt ceiling was in place, easing concerns of a possible credit downgrade or default, while the US dollar pushed higher against the Japanese yen.
"It seems the risk of US default and possibly the risk of downgrades is starting to come off the table," said IG Markets chief market strategist Ben Potter.
President Obama on Sunday said that leaders of both parties have reached an agreement to lift the US debt ceiling, reduce the federal deficit and avoid a US credit default.
Both the US House and Senate were expected to meet Monday to discuss the details of the plan, which calls for increasing the debt ceiling by at least $2.1 trillion through the end of 2012, along with $2.4 trillion in deficit reduction. "It will allow us to avoid default," said Obama.
The Nikkei ended up 1.34%, while the Hang Seng was last 1.56% better.
In early trade the FTSE100 was up almost 1%.
By 09:10 local time, the JSE All-share [JSE:J203] index was 0.89% higher, with resources up 1.31% and platinum miners advancing 1.06%. However, gold miners were off 0.38%.
Banks were 1.1% stronger, financials advanced 0.83% and industrials collected 0.57%.
The rand was bid at R6.66 to the dollar, from R6.70 at the JSE's close on Friday. Gold was quoted at $1 614.29 a troy ounce from $1 627.16/oz at the JSE's previous close, while platinum was at $1 799/oz, from $1 784.50/oz previously.
A local trader said the announcement that everyone had been waiting for had at last come - and all the markets were up on the back of that.
"But let's see where the market will consolidate. The rand is still pretty strong, and we are seeing some of the gold stocks pulling back a bit. But everything else a quite rosy," the trader said.
"There is brightness on the horizon - for now. But there are still lot of issues out there - including the European debt crisis. But for now we are seeing a bit of relief," she added.
Dow Jones Newswires reported that Asian shares rallied on Monday as President Barack Obama confirmed a deal to raise the debt ceiling was in place, easing concerns of a possible credit downgrade or default, while the US dollar pushed higher against the Japanese yen.
"It seems the risk of US default and possibly the risk of downgrades is starting to come off the table," said IG Markets chief market strategist Ben Potter.
President Obama on Sunday said that leaders of both parties have reached an agreement to lift the US debt ceiling, reduce the federal deficit and avoid a US credit default.
Both the US House and Senate were expected to meet Monday to discuss the details of the plan, which calls for increasing the debt ceiling by at least $2.1 trillion through the end of 2012, along with $2.4 trillion in deficit reduction. "It will allow us to avoid default," said Obama.
The Nikkei ended up 1.34%, while the Hang Seng was last 1.56% better.
In early trade the FTSE100 was up almost 1%.