The JSE opened in positive territory on Tuesday, supported by firmer metals prices and stronger Dow futures. Although Asian markets were mixed, European stocks are seen opening higher as global sentiment picks up with some progress on the Greece debt issue and less concern about China's tightening plans.
By 09:18 the JSE all share index had added 0.39 percent, with resources collecting 0.57 percent, gold miners firming 0.73 percent and platinum miners advancing 0.58 percent.
Banks were up 0.15 percent, financials were 0.20 percent higher and industrials added 0.31 percent.
The rand was bid at 7.40 to the dollar from 7.39 when the JSE closed on Monday. Gold was quoted at $1112.82 a troy ounce from $1103.98 at the JSE's last close. Platinum was at $1626.50/oz from $1615.50.
"Although Asia is mixed, the local bourse is up around 100 points and Dow futures are pointing upwards at this stage – but it's very quiet and you can't read too much into it at this early stage," said a local trader. He added that firmer metals prices were lending support.
Dow Jones Newswires reported European stock markets are expected to open higher Tuesday, encouraged by some headway on the Greece debt crisis and as markets try to get beyond worrying about further monetary tightening in China.
For Tuesday's opening, IG Markets is calling the FTSE up 26 at 5619, the DAX up 39 at 5942, and the CAC up 24 at 3915.
Euro finance ministers on Monday agreed to terms under which they would offer a multi-billion-euro rescue for Greece, whose debt crisis has presented risks for the European single currency.
However, officials were tight lipped on details of the plans, which would only be pressed into action if European Union auditors fear Athens is losing the battle to control badly skewed finances.
The plans would involve bilateral aid, not loan guarantees.
The Greek crisis has caused severe strains for the euro zone and therefore for the wider European Union which has forced the Greek government to announce enormous budget cuts and reforms of its economy.
Wall Street futures are marginally higher after U.S. stocks ended slightly higher Monday. The Dow closed up 17 points overnight.
Trading volumes were light ahead of the Federal Open Market Committee's rate decision, due Tuesday after the close of European markets. Following last month's surprise hike in the discount rate, close attention will be paid to the tone and wording of the statement for any clues as to the Federal Reserve's plans to eventually raise the closely watched federal funds rate.
Asian shares are mixed to slightly higher Tuesday as gains in China's market bolstered sentiment, but many investors remained cautious ahead of the results of the US Federal Reserve and the Bank of Japan's policy meetings this week.
Regional markets drew support from gains in China's bourses, which benefitted from bargain-hunting after falling for two consecutive sessions on concerns Beijing may implement further monetary tightening measures.
The Nikkei 225 ended down 30 points, while in Hong Kong, the Hang Seng was last 49 points lower.
On the JSE, Anglo American (AGL) firmed 1.65 rand to 300 rand and BHP Billiton (BIL) added 1.60 rand to 243.60 rand. Sasol (SOL) advanced 20 cents to 283.70 rand.
Platinum miner Angloplat (AMS) was up 3.97 rand to 703.98 rand and Impala Platinum (IMP) collected 1.25 rand to 198.25 rand.
Among gold miners, Anglogold Ashanti (ANG) advanced 1.50 rand to 279.50 rand and Gold Fields (GFI) firmed 1.05 rand or 1.19 percent to 89.50 rand.
Kumba Iron Ore (KIO) was up 1.89 rand to 349.88 rand.
Among industrials BAT (BTI) was 1.54 rand stronger at 247.55 rand, while SAB Miller (SAB) was up 45 cents to 210.95 rand.
Mondi (MND) advanced 1.60 rand or 3 percent to 54 rand and Sappi (SAP) was up 5 cents at 32.50 rand.
Banker Standard Bank (SBK) was up 35 cents to 112.90 rand and Nedbank (NED) added 48 cents to 129.09 rand. However, ABSA (ASA) ditched 60 cents to 137.40 rand.
Financial services group Old Mutual (OML) added 9 cents to 14.04 rand.
Cashbuild (CSB) was down 50 cents to 73 rand. Earlier it reported a 27 percent decline in diluted headline earnings per share to 355.7 cents for the six months ended December 2009 from 490.6 cents a year ago. An interim dividend of 106 cents per share was declared, down 26 percent on the previous period's 143 cents.
The group's revenue was up 9 percent at 2.803 billion rand, while operating profit was 24 percent lower at 117.4 million rand.
Coal of Africa (CoAL, CZA) was down 25 cents, or 1.6 percent, to 15.25 rand. It reported a headline loss per share of Aus 4.48 cents for the half year ended December 2009 from a loss of 0.32 cents a year ago.
The company reported an after tax loss of Aus $35.183 million compared with a loss of Aus $1.294 million a year ago, which included an impairment to the Holfontein thermal coal project of Aus $8.693 million.
Business solutions technology provider EOH Holdings (EOH) on Tuesday reported a 27 percent increase in diluted headline earnings per share to 61.1 cents for the six months ended January 2010 from 48.1 cents a year ago.
It is EOH's practice to consider the declaration of dividends only at the end of each financial year.
Revenue was 40.6 percent higher at 778.3 million rand, while profit for the period was 36.4 percent higher at 45.374 million rand. Its share price was last up 45 cents, or 4.29 percent, to 10.95 rand.
