The JSE opened higher on Monday, taking direction from positive eastern markets which saw a rebound after a negative week last week, a local equities trader said.

The JSE earlier advised that the opening of the equity market had been delayed to due customer connectivity issues.

At 10.00am the JSE all share index had gained 1.18 percent, led by resources firming 1.27 percent, gold miners adding 1.06 percent and platinum producers collecting 0.61 percent.

Banks were up 1.20 percent, financials rose 1.02 percent, and industrials moved 0.80 percent higher.

The rand was bid at 7.34 to the dollar, from 7.46 when the JSE closed on Friday. Gold was quoted at $1173.28 a troy ounce from $1163.85 at the JSE's last close, and platinum was at $1453 an ounce, from $1436.50 at the bourse's previous close.

A local trader said: "We have opened higher, but it's not the big gains seen in the eastern markets.

"We have seen a bit of a rebound in the East this morning after a negative week last week. Our market didn't have that much of a negative week, and we might not see as big a rebound on our market as we did in the East.

"Positive markets bring a stronger rand and a weaker dollar. Resources are leading the gains and we have seen a relatively good start. The gold price is under pressure despite the weaker dollar, but it's normal to see some profit taking in that sector," he said.

Dow Jones newswires reported that US stocks fell in a thinly traded and shortened session on Friday, as fears over the potential impact of debt problems at Dubai World sent investors fleeing a broad range of stocks including Caterpillar, Bank of America and Alcoa.

The Dow closed down 154.48 points, or 1.48 percent, at 10 309.92, retreating from the 13-month closing high it reached Wednesday and marking its biggest one-day drop since October 30.

For the week, the Dow ended down 0.08 percent, snapping a three-week winning streak and marking its worst week since that ending October 30. But the measure is still up 6.15 percent for the month.

Bank of America was the Dow's weakest component on Friday, closing down 48 cents, or 3 percent, at 15.47, reflecting declines across the financial sector amid uncertainty over how much exposure US banks could have to Dubai World.

Caterpillar fell 1.59, or 2.7 percent, to 57.45.

Asian shares are higher as financial stocks rebounded in Australia, South Korea and Japan.

The Nikkei ended up 2.9 percent and Hong Kong's Hang Seng was last up 3.3 percent.

European bourses are expected to open up on Monday, continuing Friday's recovery which saw investors pick up shares in banking and other shares that had fallen sharply the previous session on the Dubai debt news.

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