Money SA economy
The JSE opened slightly firmer this morning on news that financial services group Old Mutual had received a proposal from HSBC Holdings plc to acquire a controlling shareholding in Nedbank Group.
Nedbank surged over 6%, while Old Mutual climbed nearly 4%. By 9.19am local time the JSE all share index had gained 0.32%, with resources 0.24% higher and platinum miners gaining 0.37%.
But gold miners were down 0.41%. Banks rose 1.20% and financials edged up 1.02%, while industrials lost 0.03%. Gold was quoted at $1 228.00/oz from $1 226.03/oz at the JSE's previous close, while platinum was at $1 513.00/oz from $1 516.00/oz before.
A trader said the local market was dominated by the Old Mutual-HSBC-Nedbank news. "Stocks are up on the back of this proposed deal." She said domestic resources stocks gains were boosted by higher mining equities in Australia.
Dow Jones Newswires reported that Asian stock markets traded lower on Monday, with shares in Sydney resilient despite uncertainty over who would form Australia's next government after the country's federal election resulted in a hung parliament.
European stocks opened higher on Monday, managing a positive start after Wall Street closed off its session lows on Friday and boosted by the mining sector, which rallied after the Australian general election result at the weekend.
On the JSE, Anglo American added 49 cents to R267.70, and BHP Billiton gained R1.84 to R208.50, but Sasol shed R1.62 to R279.88.
