South African Stocks Rise to Five-Month High as Mondi, BHP Rally
- 6th August 2020
- Posted by: Hakeem
- Category: Stock
South Africa’s main stock index advances for a fourth day, climbing to the highest since Feb. 20, as first-half earnings lift Mondi Plc, and as rising iron ore prices boosts diversified miners BHP Group Plc and Anglo American Plc.
Gold miners halt a two-day rally, fall 1.5%, as the precious metal producers cool. Meanwhile Naspers Ltd. retreats amid concern that the U.S. will take more measures to limit the use of Chinese technology.
The FTSE/JSE Africa All Shares Index was up 0.6% at 9:39 a.m. in Johannesburg, taking its annual gains to 1.4%, erasing all of its 2020 losses.
- Mondi +7% to highest since March 2019, providing biggest boost to the index after the company reinstates dividend
- Rand-hedge Richemont rises 0.6% as the currency slides against the dollar.
- Index for bank stocks rises for a third day, up 1.8%
- Standard Bank +2.3%, FirstRand +1.7%, Absa +1.8%, Nedbank +1.5%, Capitec Bank +1.1%, Investec +1%
- Insurers +1.5%
- Sanlam +1.8%, Old Mutual +1.3%, Discovery +1.1%, Momentum Metropolitan +1.4%, Liberty +0.6%
- Index heavyweight Naspers Ltd. falls 0.5% to provide biggest drag to the index, as partly-owned internet giant Tencent Holdings Ltd. falls in Hong Kong.
- Gold stocks shake off record bullion prices, fall 2% to pull gauge for mining stocks down 0.4%
- AngloGold Ashanti Ltd. -2.4%, Gold Fields -1.7%, Sibanye Stillwater -2.3%, Harmony Gold Mining -4%, Impala Platinum Holdings -1.4%, Anglo American Platinum -1.4%, Northam Platinum -0.6%, DRDGold -2.6%
- Foreigners remain net sellers of South African stocks, disposing 2.24b rand worth of shares, according to index operator JSE. Ltd.