(Bloomberg) — South Africa’s main stock index extended gains for a third day Wednesday, climbing 1.4%, the most in more than a month. A rally in the rand boosted retailers and financials, with FirstRand Ltd. soaring in its best session since June to make the largest points contribution to the benchmark. Investor sentiment also got a boost from an unexpected increase in business confidence to levels last seen before the coronavirus.
NOTE: S. Africa Business Mood Unexpectedly Jumps to Pre-Virus Levels
The resurgent rand drove the index of banking stocks 7.8% higher, the biggest gain since June 3. Standard Bank Group Ltd. +9%, Nedbank Group Ltd. 9.9%, Absa Group Ltd. +8.2%, FirstRand Ltd. +7.5%, Capitec Bank Holdings Ltd. +6.8%, Investec Plc +3.6%
Insurers jumped 5.2%Old Mutual Ltd. +6.3%, Discovery Ltd. +5.7%, Sanlam Ltd. +4.7%, Liberty Holdings Ltd. +4.4%, Momentum Metropolitan Holdings +4.2%, Liberty Holdings Ltd. 4.4%Asset manager Coronation Fund Managers Ltd. gained 5.2%General retailers rose 6.7%, also the most in more than three months, while food and drug retailers climbed 3.3%Massmart Holdings Ltd. +11%, Truworths International Ltd. +11%, The Foschini Group Ltd. +10%, Pepkor Holdings Ltd. +8.9%, Woolworths Holdings Ltd. +7%, Mr Price Group Ltd. +5.4%Shoprite Holdings Ltd. +10%, Pick n Pay Stores Ltd. +7%, Clicks Group Ltd. +1.9%, Spar Group Ltd. +4.1%, Dis-Chem Pharmacies Ltd. +4%NOTE: BofA Sees S. African Stock Gains Amid Bullish Call on ResourcesNOTE: This Cross May Not Be Gold for Emerging-Market Stock Investors
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