The JSE reached all-time highs today as the weaker Rand propelled Rand hedges and resources stocks.
The local bourse got off to a flying start as the ALSI futures reached a new all-time high of 53 140 points. Miners jumped as a result of the weaker Rand with Platinum miners in particular benefiting the most. Impala Platinum [JSE:IMP] was the biggest mover of the day as it gained 13.12% to close at R37.00 per share. Lonmin [JSE:LON], Royal Bafokeng Platinum [JSE:RBP] and Northam Platinum all recorded some decent gains to close the day up 7.95%, 7.30% and 5.21% respectively.
Index heavyweights Naspers [JSE:NPN] and Richemont [JSE:CFR] gained 1.32% and 1.79% respectively, whilst diversified miner BHP Billiton jumped 2.68%. British American Tobacco [JSE:BTI] recorded another day of gains to close 2.21% firmer.
Retailers and financials came under pressure due to the weaker Rand. Mr Price [JSE:MRP] and Standard Bank [JSE:SBK] were among the biggest losers as they lost 2.79% and 3.14% respectively. Stadio Holdings[JSE:SDO] traded under pressure to close the day down 4.41%, and cement maker PPC Limited [JSE:PPC] lost 2.06%.
The JSE All-Share Index gave up some of the earlier gains to close the day up 0.78%, whilst the blue chip Top-40 Index gained 0.80%. Resources jumped 2.91% whilst the Industrials Index climbed 0.77%. The Financials Index felt the impact of the weaker Rand to close the day down 1.52%.
The Rand weakened further in today’s session to reach an intra-day low of R14.29 against the US dollar. This was on the back of the medium-term budget speech that was delivered on Wednesday as well as a stronger US dollar. The Rand retraced slightly to trade at R14.19 to the US dollar when the JSE closed.
StatsSA released Producer Price Index (PPI) data which showed an increase in both the main indicators. The year-on-year number jumped to 5.2% from a prior recording of 4.2%, whilst the month-on-month number increased to 0.7% from a previous recording of 0.4%.
Gold was trading flat earlier on but subsequently lost ground towards the JSE close as the US Dollar strengthened. The precious metal was softer towards the close to trade at $1273.01/Oz just after the JSE closed.
Platinum peaked at to an intra-day high $928.14/Oz before it retreated to trade at $920.45/Oz just after the close. Palladium had another day of gains to peak at $972.67/Oz. It was recorded at $969.05 when the JSE closed.
Brent Crude remained above $58 per barrel to record moderate gains from yesterday. Brent Crude was trading $58.59 per barrel just after the JSE closed.
