THE JSE opened firmer on Thursday as concern over Brexit faded on further promises of support for the markets from central banks.
Despite the EU setting tough terms for Britain’s exit, markets remain positive on the commitments from central banks to support market liquidity.
European leaders gathering at the EU’s Brussels summit without a British representative for the first time in 40 years poured cold water on the chance of Britain gaining no-strings-attached access to the huge EU single market, Business Day reported on Thursday.
"Leaders made it crystal clear that access to the single market required acceptance of all four freedoms, including freedom of movement," EU president Donald Tusk said at a news conference.
The Bank of England (BoE) has pledged support of £250bn to the market in a bid to stem the negative sentiment and sharp sell-off following the UK exit vote last week.
At 9.35am the all share was 0.29% firmer at 52,038.40 and the blue-chip top 40 gained 0.25%. Platinums were up 1.28% and financials gained 0.52%. The property index added 0.48%. Banks rose 0.47%. Industrials were up 0.31%, but resources lost 0.13%.
The Dow Jones closed 1.64% firmer on Wednesday. The Nikkei 225 was flat on Thursday and the Hang Seng added 1.08%.
The immediate high volatility effect of the Brexit decision had faded and increasingly investors would look towards the geopolitical and economic considerations of the decision, analysts at Momentum SP Reid said in an early morning note.
Momentum said the JSE enjoyed additional brisk upside as a result of the momentum generated on global markets on Wednesday, with short-term technical metrics indicating further marginal upside was on the cards.
Anglo American softened 0.92% to R137.28 but Kumba Iron Ore jumped 5.98% to R109.70.
British American Tobacco added 0.29% to R935.75 while Richemont dropped 0.48% to R84.85.
Among banks, Nedbank softened 0.26% to R186 but Standard Bank climbed 0.55% to R127.19.
Old Mutual was up 0.79% at R38.13.
Massmart lifted 0.65% to R126.82.
Among property stocks, Resilient added 1.32% to R131.57. Rockcastle was an early favourite, firming 2.25% to R35.52.
Remgro firmed 1.09% to R255.
