Money SA economy
The JSE added 725 points on Wednesday in line with global markets and pushed by better than expected PMI data in China, the US and Europe, while Australian GDP data boosted local resources stocks.
A local dealer noted that the JSE had gained more than 1 000 points over the past three days.
By 5.00pm local time the JSE all share index had risen 2.66%, with resources 3.16% higher and platinum miners gaining 4.72%. Gold miners however, declined 2.3%. Banks rose 2.86%, financials were up 2.26%, and industrials firmed 2.4%.
Gold was quoted at $1 245.54 a troy ounce from $1 246.85/oz at the JSE's previous close, while platinum was at $1 533.50/oz from $1 521.50/oz before.
A trader said: "The local bourse has reacted to positive PMI data, which came out much better than anticipated. The final push today came from US PMI data, while players chose to ignore weaker jobs data. "The latest data suggests that a talked about 'double-dip' is not on the cards as was feared. The Australian economy also revealed encouraging growth which supports our resource led economy, and Anglo and Billiton reacted accordingly adding 4% on the day."
Dow Jones Newswires reports that Investors sent the stock market sharply higher on Wednesday, as strong manufacturing data helped erase gloomy jobs data to kick off September on a bullish note.
Asian shares posted gains overnight, buoyed by encouraging manufacturing data from China and better-than-expected growth in Australia, which allayed some near-term worries about the global economy.
On Wednesday, investors were also looking for manufacturing and construction spending data. In the early afternoon, Richard Fisher, president of the Federal Reserve Bank of Dallas, is scheduled to speak on the economy. Car-sales data for August will also be reported during the session.
On the JSE, Anglo American gained R11.80 or 4.45% to R276.80, BHP Billiton rose R8.84 or 4.29% to R215.10, and Sasol climbed R8.25 or 2.94% to R289.10.
