News Column

Market Report

April 24, 2014

shares ended mixed yesterday after reaching record highs despite an hour-long technical glitch at the start of trading on the Johannesburg Stock Exchange.

African Bank was the biggest gainer of the day as the company galloped to three-month highs, adding 11.31 percent at R12.20.

"This was a stock that was down in the doldrums," said Greg Davies, equity trader at Cratos Capital, suggesting that the share was seeing a short squeeze.

"We are perhaps seeing what is commonly known as a short squeeze. People who had sold the share at R11 thinking it was going to go lower are now having to buy the share back at around R12.15 and possibly higher," he said.

After scaling a record peak earlier in the day, the benchmark Top40 index shed 0.14 percent to 43 648.41 while the broader all share index was little changed, |edging up 0.01 percent at 48 647.62.

Advancers outpaced decliners 198 to 122, as 173 million shares changed hands, according to bourse data. - Reuters

Cape Argus

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Source: Cape Argus (South Africa)