Money SA economy
The JSE opened virtually flat in morning trade on Thursday, swinging from small losses to tiny gains as investors look past US Federal Reserve Chairman Ben Bernanke's testimony and concentrate on the Reserve Bank's Monetary Policy Committee (MPC) rate decision later today.
By 09.37am local time the JSE all share index had risen slightly 0.10%, as resources gained 0.09%, but platinum miners fell 0.08%, and gold miners lost 0.71%. Banks added 0.21%, financials were unchanged (0.01%) and industrials eked out a meagre 0.06% gain. Gold was quoted at $1 184.97 a troy ounce from $1 192.93/oz at the JSE's previous close, while platinum was at $1 513.50/oz from $1 526.00/oz before.
A trader said trading is being driven by anticipation of an interest rate cut by the MPC later today.
The trader said banks rose at the opening bell after finishing 2.61% stronger on Wednesday. "Banks are positive this morning after having a strong run yesterday," she said.
The market is keeping an eye on a number of earnings reports in the US, she said.
Dow Jones Newswires reported that Asian shares were mostly lower on Thursday as investors were spooked by Federal Reserve Chairman Ben Bernanke's downbeat assessment of the US economic outlook.
Wall Street tumbled on Wednesday after Bernanke - in testimony to Congress - called the economic outlook "unusually uncertain" but indicated that no moves to bolster the recovery were imminent.
European stocks started lower on Thursday, after the Federal Reserve Chairman's comments late Wednesday on the state of the US economy sent the Dow Jones Industrials Average on a one hundred point decline, and Asian markets followed in kind.
