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South African Stocks Climb to Record High on SABMiller Rally

South Africa’s benchmark stock index climbed to a record high as SABMiller Plc (SAB), the world’s second- largest brewer, rallied the most in more than four years after reporting earnings that beat analyst estimates.

The FTSE/JSE Africa All Share Index (JALSH) closed 0.9 percent higher at 37,844.55, after earlier advancing as much as 1.3 percent. SABMiller, which makes up 9 percent of the gauge, surged 5.8 percent, the most since October 2008, to 395.87 rand, the highest since at least 1995 when Bloomberg started compiling data on the stock.

Earnings before interest, taxation and amortization excluding some items climbed to $3.17 billion, SABMiller said, bolstered by gains in Latin America and Africa. That compared with the $3.1 billion median estimate of 10 analysts surveyed by Bloomberg.

“The market was dominated by SABMiller today; the results were very well received,” Thys van Zyl, a trader at Thebe Stockbroking in Johannesburg, said by phone.

Standard & Poor’s GSCI index of commodities jumped as much as 0.8 percent after a Chinese manufacturing index signalled the first expansion in 13 months. This boosted local resources shares, Van Zyl said.

Anglo American Plc (AGL), the biggest mining investor in South Africa, advanced 1.9 percent to 243.30 rand. BHP Billiton Ltd. (BHP), the biggest mining company, rose 1 percent to 277.28 rand.

SABMiller’s 30-day historical volatility, a measure of stock swings, increased to 20.82 from 12.27 yesterday. The FTSE/JSE Africa All Share Index’s 30-day volatility measure was at 9.16 compared with 8.87 yesterday. A higher reading means an asset’s price can have bigger moves. More than 5.8 million SABMiller shares traded, almost three times the daily average over the past three months.

To contact the reporter on this story: Stephen Gunnion in Johannesburg at sgunnion@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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