Higher gold and platinum prices helped “gold and platinum producers” book gains yesterday on the JSE, reports Fin24
. Leading the gold producers was AngloGold Ashanti. It rose “6.9% to R175.74”.
Yesterday, AngloGold Ashanti also announced it was selling “its Namibian unit for $110 million to focus on bigger operations,” notes IOL
By close, the Gold Index was 6.13% higher, says BDLive
. This as the price of gold added $9.45 from Friday’s close. The Platinum Index gained 3.43%. And the Industrials Index added 0.98%.
Platinum shines as the strike continues
In spite of the strike hitting the top three platinum producers being in its third week, all three had a good day, adds Fin24
. Anglo American Platinum, Impala Platinum and Lonmin all rose “between 3% and 4%”.
The strike is also adding to fears of supply issues, says BDLive
. This could put upward pressure on the platinum price,
The JSE Top 40 Index ended the day 1.33% higher at 41,321.02 points. The All Share Index closed 1.28% higher at 45,920.87 points.
Naspers also had a good day, ending “3.41% higher at R1,179.94,” notes BDLive
. In spite of sitting on a “price earnings ratio of 63,” investors still have faith in the “growth potential from Chinese subsidiary Tencent’s large user base in China”. Naspers has a 34% stake in the company.
Rob Towell, senior equities trader at Consilium Securities, says it is “too early to speculate if the JSE was on a new, positive track,” reports I-Net Bridge
. He added that the gains were mostly down to the performance of “three shares: Naspers, Anglo American and BHP Billiton”.
The casualties of the day were the banks, adds I-Net Bridge
. The Banking Index fell 0.95%. With the rand continuing to trade a weak levels
, worries about inflation and impending interest rate hikes hit the banking sector.
So overall a good day for the JSE. Let’s see if it can keep up its winning run.