BR: Platinum leads JSE to biggest gain in three months
LOCAL stocks recorded the biggest daily gain in three
months yesterday.
Assets shrugged off the public service strike that
threatened to drag on for longer as public sector unions
late yesterday rejected an improved government wage
offer, with similar industrial action in mining and the automotive sectors.
Also supporting the local market was purchasing managers index (PMI) data that showed a mild expansion in the manufacturing sector, after two months of contraction.
The Top40 index of blue chips rallied 3.04 percent to
24 860.28 points, touching the biggest gain since May 26.
The broader all share index rose the most in more than
three months, adding 2.66 percent to 27 979.26 points.
“We are getting some positive numbers coming out of
the US, some manufacturing numbers were good, and that is turning the market up quite dramatically,” said Ferdi Heyneke, a trader at Afrifocus Securities.
Platinum stocks rose the most, reversing Tuesday’s
losses, after the National Union of Mineworkers suspended a planned one-day strike that would have shut mines. Platinum stocks also benefited from higher metal prices.
Anglo Platinum jumped 6.1 percent to R648, the highest
level in more than a week.
Diversified mining company African Rainbow Minerals
increased 5 percent to R162. Platinum snapped a two day decline, adding 1 percent.
Mining and bourse heavyweight Anglo American rose
4.5 percent to R276.80 and rival BHP Billiton was up 4.3 percent to R215.10. Copper advanced to the highest level since April in London as manufacturing in China, the biggest consumer, expanded at a faster pace last month.
Impala Platinum added 4.2 percent to R181.27.
Information technology provider EOH Holdings rose
9.4 percent to close at R12.34, the highest level since at least August 1998.
Sasol advanced 2.9 percent to close at R289.10. Oil advanced for the first time in three days.
William Tell Holdings, a manufacturer of chipboard
and other wood-based panels, fell 1.7 percent to close at 59c after it said it expected to post a per-share loss of between 16.11c and 16.99c.
