The JSE powered ahead on Wednesday closing the day more than 660 points firmer, led by resources and a stronger Dow.

By 5pm the JSE all share index had gained three percent, with resources collecting 4.11 percent. Gold counters were up 2.64 percent, along with platinum miners, up 2 percent.

Banks gained 1.71 percent, financials collected 2.19 percent and industrials profited 2.18 percent.

The rand was last bid at 7.73 to the dollar, from 7.72 when the JSE closed on Tuesday. Gold was quoted at $938.20/oz a troy ounce from $942.09/oz at the JSE's last close, and platinum was at $1200/oz, from $1172/oz at its previous close.

A local trader said: "The JSE has powered ahead today led by resources, up more than 4 percent. There seems to be bargain hunting and short coverings that crept into the market.

"The rally is broad based, which is encouraging and sets the tone for further gains. The Dow is also lending a helping hand, while the market has shrugged off a strong rand," the trader said.

Dow Jones Newswires reports that stocks kicked off the second half of 2009 on Wednesday with a modest gain sparked by promising readings of manufacturing in China and the US, though the employment outlook remained murky.

In another sign of improving investor sentiment, the Chicago Board Options Exchange's Volatility Index was off 3.3 percent to 25.47, again retreating below its close of 25.66 immediately before the meltdown of Lehman Brothers last September marked the beginning of Wall Street's credit crisis.

The VIX, which uses options prices to gauge investors' nervousness about upcoming market swings, has slipped below the 25.66 mark in each trading session this week, though it has managed only one close below the mark.

Though this week's calendar has been packed with important economic releases, many traders say that a mild case of summer doldrums seems to have set in for the market.

In economic news on Wednesday, new data from ADP showed private-sector job losses of 473 000 last month, surpassing expectations that the report would show job losses of about 400 000. The Institute for Supply Management said its index of US manufacturing activity rose to 44.8 in June from 42.8 in May.

The latest readings were roughly in line with analysts' expectations. The ISM was still low enough to signal an overall contraction in manufacturing activity, but the pace of that slowdown seems to be abating.

Crude-oil futures rose more than US$1, lifted by supportive supply. The front-month August contract on the New York Mercantile Exchange was recently trading US$1.11 higher at US$71 a barrel.

The dollar rose against the yen but fell against the euro.

Back in Johannesburg, Anglo American added 4.91 percent to 233.94 rand and BHP Billiton rose 4.57 percent to 183 rand.

Petrochemicals group Sasol advanced six percent to 286.17 rand.

Diversified miner Exxaro gained 3.23 percent to 78.20 rand and African Rainbow added 1.55 percent to 131.91 rand.

Metal giant ArcelorMittal climbed 1.57 percent to 97 rand.

Gold miner AngloGold Ashanti collected 3.35 percent to 292.50 rand and Gold Fields was up 3.44 percent to 96.74 rand but Harmony shed 1.25 percent to 79 rand.

Platinum miner Anglo Platinum gained 2.29 percent to 558 rand, Impala Platinum rose 1.79 percent to 173.50 rand and Lonmin firmed 4.32 percent to 157 rand.

Elsewhere on the JSE, brewer SABMiller advanced 4.52 percent to 164 rand. The world's second-largest brewer announced a proposed Broad-Based Black Economic Empowerment (BBBEE) transaction worth about R6-billion, which will place about 10 percent of the company's shares under black ownership.

Participants will include SAB's employees; black-owned licensed liquor retailers and liquor licence applicants, as well as black-owned customers of ABI, the soft drinks division of SAB; and the broader South African community through an SAB foundation.

The transaction will target an estimated 60 000 new shareholders, of whom over 95 percent are estimated to be black individuals or black majority-owned enterprises, and will hold SAB Ltd shares through separate investment entities.

SAB confirmed that its proposed transaction would cost the company about R1.8-billion to implement.

British American Tobacco picked up 1.17 percent to 215.50 rand, with Tiger Brands gaining 3.40 percent to 149 rand.

Imperial put on 2.92 percent to 60 rand with Barloworld moving 2.96 percent higher to 39.95 rand.

Among banks, Standard Bank firmed 1.24 percent to 89.90 rand, Nedbank collected 3.88 percent to 101.85 rand and Absa was up 1.18 percent to 111.30 rand.

Investec Ltd profited 5.12 percent to 44.57 rand, with Santam(SNT) 2.84 percent higher to 87.41 rand.

Media group Naspers increased 1.55 percent to 206.14 rand.

Among retailers, Lewis edged up 1.45 percent to 48.90 rand. Massmart gained 2.62 percent to 82.10 rand and Pick n Pay advanced 4.55 percent to 34.50 rand.

Among industrials, cement group Pretoria Portland Cement added 5.13 percent to 30.51 rand.

Astral increased 3.67 percent to 98.95 rand.

Among telecommunications groups, MTN Group gained 69 cents to 119 rand and Telkom ended 8.08 percent higher to 41.05 rand.

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