Johannesburg - The JSE was firmer in midday trade on Wednesday, with resource stocks leading the charge on the back of strong commodity prices with concerns over Greece having subsided somewhat.
However, markets are still a bit wary ahead of Greece's announcement of its new austerity measures and the release of key US labour market data.
At noon, the JSE all share index was up 0.63%, with resources 0.87% better off, the gold mining index adding 1.87% but platinum miners flat (+0.03%). Banks and financials gained 0.40% and 0.43% respectively, while industrials advanced 0.46%.
The rand was bid at R7.58 to the dollar, from R7.56 seen at the JSE's close on Tuesday. Gold was quoted at $1 137.30 a troy ounce from $1 126.74 at the JSE's last close. Platinum was at $1 581/oz from $1 565/oz at the JSE's last close.
"We opened pretty flat, but the market has picked up, with the resource sector leading the charge owing to a weaker dollar and a stronger euro with concerns subsiding over Greece," a local equities trader said.
Dow Jones Newswires reports that European stocks were slightly lower on Wednesday, as investors adopted a more wary stance ahead of Greece's announcement of its new austerity measures and the release of key US labour market data.
Greece's austerity package, is seen as a precondition for any European Union financial support and a prelude to the country's issuance of a new 10-year bond. It is expected to include €4bn in additional spending cuts and tax measures.
"The markets will be taking a close look at the details outlined today by the Greek Prime Minister of the planned new cuts, which could include deeper cuts to civil servant pay, freezing pensions and hiking consumer taxes,"
said Michael Hewson, market analyst at CMC Markets.
Meanwhile, Asian markets saw broad but modest gains on Wednesday, with strength in commodity plays and upbeat economic data helping to lift Australia's benchmark stock index to its highest level in more than five weeks.
Weakness in property stocks helped fuel a small decline in the Hong Kong market. But overall, stocks in the Asian region found additional support as worries over debt-strapped Greece diminished.
"Concerns over Greece continued to ease and strong moves among resource stocks bolstered gains," said Ben Potter, a market analyst at IG Markets in Melbourne.
Japan's Nikkei 225 closed up 0.3% at 10,253.14 while Australia's S&P/ASX 200 ended 0.7% higher at 4,735.70 to mark its strongest closing level since January 22.
South Korea's Kospi Composite added 0.5%, Taiwan's main index tacked on 0.4% and the Shanghai Composite finished 0.8% higher. Hong Kong's Hang Seng Index ended down 0.1%.
- I-Net Bridge