JSE climbs on Friday as resources and Naspers push higher
The JSE rose on Friday morning, led by a recovery in the resources index despite the gold price edging towards its worst level since December 2018.
Gold, which has lost ground this week, was marginally lower at $1,269.71/oz as the dollar strengthened, while platinum gained 0.43% to $853.47.
The JSE’s resource 10 index was 1.48% higher, pushing the all share index 0.85% up to 59,244.9 points. The blue-chip top 40 index rose 0.94%.
Sibanye led gains among mining stocks, adding 2.48% to R12.82. Assore, AngloGold Ashanti, African Rainbow Minerals, Northam Platinum and Anglo American also rose.
JSE-heavyweight Naspers gained 0.78% to R3,719.77 — close to its best level since November 2017 — even though its main investment, Tencent, fell in Hong Kong.
MTN, which announced on Friday that Mcebisi Jonas would take over as chair from Phuthuma Nhleko in December, rose the most among the top 40 stocks, gaining 2.53% to R106.12.
The network operator also said it would create an international advisory board, which would be chaired by former president Thabo Mbeki.
Intu Properties, meanwhile, was 8.42% down at R17.40 after saying its like-for-like net rental income in 2019 would fall up to 6%.
“We expect the remainder of 2019 to be challenging due to a higher-than-expected level of company voluntary arrangements (CVAs) and a slowdown in new lettings as tenants delay their decisions due the uncertainties in the current political and retail environments,” said Matthew Roberts, who took over as Intu CEO at the end of April.
Brent crude fell 0.34% to $70.14 a barrel.
The rand, which breached the R14.50/$ mark on Thursday afternoon, remained on the back foot. It was marginally weaker at R14.54/$, R18.94/£, and R16.23/€.
Bloomberg reported earlier that SA’s May 8 elections would be likely to yield a positive outcome for the rand, citing Daria Parkhomenko, an analyst at RBC Capital Markets in New York.
RBC sees the rand at 13.40/$ by year-end, or R13.2362 per dollar if the ANC wins 60% or more.
No major data releases are expected in SA on Friday, though investors are awaiting US nonfarm payroll, unemployment and wage figures.
Source: businesslive.co.za
