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Johannesburg - South African stocks ended firmly in the black on Wednesday amid positive economic trade data out of China, which boosted commodity stocks, a local trader noted.
By 17:00 the JSE all share index was up 0.68%, with platinum miners adding 1.07%, resources firmed 0.60%, but gold stocks were flat, down 0.04%. Banks were up 1.42%, with financials 0.98% higher and industrials put on 0.60%.
The rand was bid at R7.39 to the dollar, from R7.38 seen at the JSE's close on Tuesday. Gold was quoted at $1 119.60 a troy ounce from $1 115.84 at the JSE's last close. Platinum was at $1 602/oz from $1 591.50/oz at the JSE's last close.
A local equities dealer said: "Momentum is playing a big role at the moment on the local bourse. With most global markets generally flat, good Chinese trade data boosted local stocks as data on imports is a good sign for the South African economy, particularly resources.
The trader pointed to thin trade volume on the local bourse. "Investors seem to be sitting on their hands a bit, the market has a good run, and they are cautious of taking profit while the market is on that run," he said.
Dow Jones Newswires reported that US stocks opened slightly higher on Wednesday as the financial sector climbed, along with technology and telecommunications stocks but the materials sector weighed as commodities slipped.
The Dow Jones Industrial Average was up 16 points, or 0.2%, to 10580, in early trading.
The action came as the dollar was weaker against the euro but strengthened against the yen. Treasury slipped, with the 10-year note off 7/32 to yield 3.725%. Crude-oil futures edged lower ahead of key inventory data from the government. Gold futures were also lower.
Overseas, data from China showed the country's surplus narrowed to $7.6bn in February from $14.2bn in January as imports surged. Exports from Germany, meanwhile, unexpectedly slumped over 6% in January, and industrial production fell in the UK during January.
The US Treasury Department's monthly budget statement is due.
- I-Net Bridge
