Johannesburg - The JSE was fairly flat at midday on Thursday, consolidating after recent gains and, like its global counterparts, is looking to the US data later in the day to provide some fresh direction.
By noon the JSE all share index was off just 0.05%, with resources up 0.10%, gold miners 0.51% better, while platinum miners were 0.88% lower. Banks were 0.15% softer, financials shed 0.23% and the industrial index moved down 0.13%.
The rand was bid at R7.48 to the dollar from R7.38 at the JSE's close on Wednesday. Gold was quoted at $1 142.88 a troy ounce from $1 145.90/oz at the JSE's last close. Platinum was at $1 737.00/oz from $1 725/oz at the JSE's last close.
"We are certainly seeing some consolidation and tiredness in this market, especially in resources stocks, although the gold price in rand terms is looking strong and there is buying into gold stocks," said a local trader.
He added that rising risk aversion is resulting in money being taken off the table in the form of profit-taking.
"We are waiting for key US numbers - home sales and weekly unemployment claims. Also, we are just at the start of the earnings season, so some volatility and choppiness is expected," he said.
"In the places where the market has run hard, such as construction and retails stocks, we are seeing a bit of a pullback, but if you look at the top 40, most of the stocks are down just 1%, so you can't read too much into that on a day to day basis."
He added that the dollar has been strengthening and there seems to be some fund money going into the dollar and gold.
Dow Jones Newswires reports that US stocks are set for a weaker start on Thursday, with futures taking a hit from news that the Greek budget deficit is worse than previously forecast.
"Yet again the Greek situation is giving the market jitters," said David Jones at IG Index in London. However, he expects the pipeline of earnings reports will spur investors. "We're starting lower but investors still have an appetite to buy into the weakness. As long as earnings confirm the economic recovery is continuing, investors seem happy to ignore macro data."
Asian stocks ended mostly lower on Thursday as concerns surrounding possible government restrictions in the property sector hurt developers in Hong Kong, while weaker commodity prices dragged down regional material stocks.
Japan's Nikkei fell 1.3%, giving up most of its gains from the previous session, China's Shanghai Composite lost 1.1% and Hong Kong's Hang Seng Index fell 0.3%, with property stocks losing ground after Financial Secretary John Tsang on Wednesday said the government may raise the transaction tax on properties valued at or below 20 million Hong Kong dollars ($2.56m) and also announced a plan to auction two parcels of land in coming months to prevent a potential asset bubble.
