Gold and platinum buoyed the market’s performance
It was a day of “volatile trading” on the JSE yesterday, says I-Net Bridge
. But decent gains in platinum and gold stocks helped offset a bad day for banking and financial counters.
The JSE Top 40 Index rose 0.75% to close at 43,055.99. The All Share Index rose 0.61%, closing at 47,612.81.
The price of gold rose “about 1%,” says Fin24
. Investors are clamouring into gold as worries about a “slowdown in China’s economy” continue and the “Ukrainian crisis” rumbles on.
This benefitted gold producers, adds Fin24
. Gold Fields added 4% and Harmony Gold added 1.6%. Not only that, the price of platinum continued to hover around its six month high hit last week.
The lengthy strike in the platinum sector is leading to supply worries
Platinum shares benefitted from a weaker rand and worries about platinum supply, reports I-Net Bridge
. The strike affecting the top three platinum producers
is now in its seventh week.
Impala Platinum and Lonmin both rose “around 2% each,” notes Fin24
Also benefitting from the strong platinum price is platinum backed exchange traded funds, notes MoneyWeb
. Holdings in the white metal “hit a record high”.
Viv Govender, Vunani Private Clients’ market analyst, said that the day kicked off with “some negative news,” notes I-Net Bridge
. That bad news included signs that the “government was going ahead with the controversial mining bill
Sasol hit a new high of R585.04 as oil prices crept up and a weaker rand looks set to benefit its earnings, says I-Net Bridge
. This follows the release of its interim results yesterday
, which were solid.
Naspers also surged to a new high of R1,354.09, up 3.8%, reports MoneyWeb
. This as news filtered through that Tencent, which Naspers has a large holding in, is buying a “stake in China’s second biggest e-commerce firm, JD.com”.
So after a rollercoaster day, the JSE booked a decent performance.