South African Stocks Rise as Gold Miners Climb Before Powell

South Africa’s main stock index extends gains for a second day, rising 0.7% by 9:50 a.m. in Johannesburg, as index heavyweight Naspers Ltd. and its subsidiary Prosus NV advance, and as gold stocks lift miners.

Sasol Ltd. gets little benefit from higher oil prices, slides 3.6% to be biggest drag on the market after the company says it shut its $13 billion Lake Charles Chemicals Project due to Hurricane Laura making landfall on the U.S. Gulf Coast.

  • The global rally that pushed equities to a record stalled Thursday ahead of a highly anticipated speech from Federal Reserve Chair Jerome Powell. Investors will also be watching U.S. GDP and jobless claims due later.
South African Stocks Rise as Gold Miners Climb Before Powell
  • Naspers, with a 20% weighting on the index, rises 1.8% to a three-week high, providing biggest boost to the benchmark, as partly owned tech giant Tencent Holdings Ltd. advances in Hong Kong. Naspers subsidiary Prosus rises 2% to the highest since the company listed in September 2019.
  • Gauge of mining stocks advances for a second day, up 0.3%
    • AngloGold Ashanti Ltd. +1.1%, Anglo American Plc +0.2%, Harmony Gold Mining Co. +1.6%, Impala Platinum Holdings Ltd. +0.8%, DRDGold Ltd. +3.1%, Anglo American Platinum Ltd. +0.8%
    • Gold Fields Ltd. +0.9% as company see gold miners widening their investment appeal as near-record bullion prices boost profits and dividends.
  • Food and drug retailers rise 1%

    • Bid Corp Ltd. +2.8%, Clicks Group Ltd. +0.6%, Spar Group Ltd. +0.5%, Shoprite Holdings Ltd. +0.2%
  • Aspen Pharmacare Holdings Ltd. climbs 5.4% to a seven-week high as company says revenue may rise as much as 10% in the year to June 30.
    • NOTE: Aspen Sees FY Reported Revenue Growth 8% to 10% Higher y/y
  • Blue Label Telecoms Ltd. +9% to the highest since July 23, as company swings to profit in the year to May 31.
    • NOTE: Blue Label Full Year Net Income 226.8 Mln Rand
  • Foreigners turn net sellers of South African stocks Wednesday, disposing of 340 million rand worth of shares, according to bourse operator JSE Ltd.

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