Publications
Partners
Johannesburg - South African stock prices ticked higher for a second straight session on Tuesday as news the economy had avoided sinking into a recession sent a sigh of relief through the markets.
Bullion producers got a lift as the yellow metal's price recovered from a two-month low reached last week as a rally in the US dollar paused.
Gold Fields rose 2.1% to R46.25 while Africa's top producer AngloGold Ashanti added 1.25%.
Africa's most advanced economy grew 0.6% in the second quarter, compared to a 0.6% contraction in the previous quarter, but lower than the 0.9% that a Reuters poll of 26 analysts had predicted.
"Although the GDP data disappointed, there is a bit of cheer that at least we are not in recessionary territory," said Petri Redelinghuys, a senior trader at Inkunzi Investments.
The benchmark Top-40 index added 0.6% to 46 478 and the broader All-share index rose by a similar margin to 51 729.
Strong data out of the United States had also given local stocks a leg up and would continue to support the market, Redelinghuys said.
"If we do break through and push to new highs it will be on the back of the U.S. or international trade," he said.
On the local front, investors are concerned that while the economy has managed to avoid a recession, it is still in trouble given its overburdened consumers.
Trade at the Johannesburg bourse was lacklustre with about 153 million shares changing owners.
