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JSE slightly firmer in thin trade

Aug 16 2012 13:55 I-Net Bridge

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Johannesburg - The JSE share market was slightly higher at noon‚ boosted by resource and gold shares.

There were no real catalysts driving market sentiment‚ with trading volumes thinned by the annual European holiday season.

“Our local bourse continues to consolidate for the seventh day‚ following the recent rally in global markets. News flow over the last week has lacked the impetus to either push markets higher or reverse recent gains‚” said Shaun Murison‚ market analyst at IG Markets SA.

He said It would appear markets were on pause‚ waiting for action or surprise‚ with the usual economic indicators not being enough to sustain a direction right now.

European shares similarly lacked direction at noon‚ while Asian markets ended mixed.

At 12.:39‚ the JSE all-share index was up 0.15% to 35 597.11 points‚ with resources gaining 0.90% and gold shares climbing 0.88%.

Among companies in focus‚ Cipla Medpro South Africa [JSE:CMP] share price was down 43 cents‚ or 5.19%‚ to R7.85‚ off its lows of 7.20. SA’s third biggest generic drug company still remained tight-lipped about the reasons for the suspension of its CEO Jerome Smith.

Media group Avusa [JSE:AVU] was up 97 cents‚ or 4.51%‚ to R22.47. Times Media Group's (TMG) bid for Avusa has succeeded after shareholders voted in favour of the deal on Thursday morning.

Standard Bank Group [JSE:SBK)] lost R3.60‚ or 3.10%‚ to R112.59.

The bank reported an 11% increase in headline earnings per share to R73.84 in the six months ended June 2012‚ from R66.37 a year ago.

Paul Theron‚ CEO of Vestact‚ said the results put a positive spin on commentary about Standard Bank‚ but said certain aspects were a of concern. “What could be worrying is some corporate write downs to the Middle East and Eastern Europe and the increase in provision for unsecured loans. Having said that‚ the dividend hike is pleasing‚” Theron said.

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market  |  jse
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