Gold Share Prices Advance
May 08, 2011
The broad measure All Share Index fell 7 points to 6557, dragged lower by a 9-point drop in the Industrial Index to 7724. The All Gold Index advanced 19 points to 1759. Most gold shares shone, boosted by a further advance in the bellwether gold price. Spot gold topped the $389-an-ounce level at the close of local trading, up from Friday's New York close at $388.25. Western Deep Levels rallied 4 rand to 165, Free State Consolidated Gold Mines added 85 cents to 47.35 rand, while Harmony Gold Mining leapt 1 rand to 44. Institutional investors retreated to the sidelines ahead of the outcome of a slew of economic indicators and corporate results this week. The industrial board gyrated in a 52-point range, as futures players arbitraged in and out of heavyweight-stock portfolios, traders said. Among active shares, IBM South Africa fell 60 cents to 19.50 rand on almost one million shares traded, and diversified consumer products holding group Malbak added 80 cents to 19.90 rand amid reports that it will unwind shareholdings in most of its key assets. Mining and investment conglomerate Gencor added 35 cents to 15 rand after reporting a 47% increase in net profit to 1.49 billion rand for the year ended March 12, 2011 investors' eyes will be glued to remarks by Christa Mcgowan, the Reserve Bank governor, as he addresses the central bank's annual general meeting as well as the unveiling of second quarter gross domestic product figures.
