Weaker JSE takes cue from Asia

The JSE started the week on a softer note on Monday, taking its cue from weaker overseas markets.

|||

The JSE started the week on a softer note on Monday, taking its cue from weaker overseas markets.

A trader said companies such as MTN (MTN), Anglo American (AGL), Bidvest (BVT) and FirstRand (FSR) all went ex-dividend today. Aquarius (AQP) fell sharply due to concerns over indigenisation in Zimbabwe, the trader noted.

By 09:29 local time, the JSE all-share index was down 0.67%, with gold miners falling 0.48%, resources dropping 1.05% and platinum miners sliding 2.29%. Financials lost 0.12%, banks shed 0.27% and industrials declined 0.60%.

The rand was bid at 6.8438 to the dollar from 6.8468 at the JSE's close on Friday. Gold was quoted at US$1,418.65 a troy ounce from US$1,436.32/oz at the JSE's previous close, while platinum was at $1,733.00/oz from $1,754.00/oz before.

A trader said the local stock market took guidance from lower Asian shares.

Dow Jones Newswires reported that Asian stock markets were mostly lower on Monday, with Tokyo shares hit by renewed concerns about a stricken nuclear power complex as radioactive water slowed repair work at the plant.

Japan's Nikkei Stock Average was off 1.1%, Australia's S&P/ASX 200 was down 0.3%, South Korea's Kospi Composite was down 0.4%, China's Shanghai Composite Index was up 0.7%, Hong Kong's Hang Seng Index was 0.7% lower and India's Sensex rose 0.7%.

Dow Jones Industrial Average futures were down eight points in screen trade.

Repair crews at the troubled Fukushima Daiichi nuclear plant struggled to make headway amid news that the level of radioactivity in a pool of water that had accumulated inside one of the buildings reached 100,000 times the normal level found in the reactor core.

European stocks are expected to open little changed but with a downward bias as lingering concerns about the nuclear crisis in Japan are likely to be tempered by attempts by the Organisation of the Petroleum Exporting Countries (Opec) to assuage supply fears in view of the situation in Libya.

On the JSE, Anglo American (AGL) fell 6.67 rand or 1.88% to 348.83 rand and BHP Billiton (BIL) lost 1.65 rand to 258.55 rand. But Sasol (SOL) gained 74 cents to 376.99 rand.

Among gold counters, Gold Fields (GFI) slid 1.06 rand to 115.44 rand, DRD Gold (DRD) rose five cents or 1.47% to 3.45 rand.

Angloplat (AMS) slid 8.86 rand or 1.30% to 670.51 rand, and Impala Platinum (IMP) slumped 5.76 rand or 2.92% to 191.82 rand.

Aquarius (AQP) plunged 2.45 rand or 5.98% to 38.55 rand. A trader said there were fears over indigenisation laws on Zimbabwe.

Earlier, the company released a statement saying that its Zimbabwean operating subsidiary, Mimosa Mining Company, was engaged in discussions with the relevant authorities in Zimbabwe in order to establish a position that would be compliant with the Indigenisation and Economic Empowerment Act and beneficial to stakeholders.

Base metals miner Assore (ASR) inched down 3.51 rand or 1.68% to 205.65 rand.

Among industrial stocks, Bidvest (BVT) slipped 2.02 rand or 1.35% to 147.88 rand and Richemont (CFR) was down 43 cents or 1.10% to 38.70 rand.

Mobile phone operator MTN (MTN) slumped 3.08 rand or 2.29% to 131.15 rand.

Banking firm FirstRand (FSR) shed 27 cents or 1.40% to 19.01 rand.

In the retail sector, Woolies (WHL) was off 34 cents or 1.23% to 27.33 rand.

Specialist natural resources investment company Pallinghurst Resources (PGL) on Monday reported diluted headline earnings per share of US 24 cents for the year ended December 2010 from 20 cents a year ago.

Its profit from operations grew to $157.9 million from $61.5 million, while its net profit was up 86% to $116.0 million. The company's investment valuations increased by almost US$200 million, net of cash additions.

Pallinghurst (PGL) surged 14 cents or 3.48% to 4.16 rand.

Education and recruitment company Advtech (ADH) was flat at 5.59 rand. The company on Monday posted a decline in its diluted headline earnings per share for the year ended December 2010 to 37.1 cents, compared with 40.1 cents in the previous corresponding period. Revenue, though, was up 7% to 1.4 billion rand.

Profit for the year was down 7% to 148.8 million rand from 160.2 million rand a year earlier. Advtech full year distributions were up 2% to 21.5 cents per share. - I-Net Bridge

Source: http://www.iol.co.za/weaker-jse-takes-cue-from-asia-1.1048180

Savings rates Guantánamo Bay Joey Barton Supermarkets Gareth Barry Qatar