- A rally in beleaguered technology companies and a 10.73% jump in the share price of Exxaro Resources, South Africa’s largest coal producer, drove up the country’s major stock indexes. The technology sector rose 1.99%, led by tech investor Naspers, which indirectly owns about 30% of Chinese company Tencent. Chinese company Tencent holds. Higher coal prices and increased demand, particularly from Asia due to a post-pandemic recovery, boosted Exxaro, which exports high-grade coal to countries such as India and China, the two largest coal importers. Overall, the FTSE/JSE All-Share Index rose 0.65% and the FTSE/JSE Top 40 Companies Index closed up 0.59%.
- The Rand advanced on Tuesday afternoon as the central bank highlighted inflation risks in its semi-annual review of the stance of monetary policy. When asked about these risks, Governor Lesetja Kganyago said the bank was prepared to act if it saw them. At the close of trading, the rand was trading around R14.97 against the dollar, 0.33% firmer.
- Gold prices edged lower this morning as a firmer dollar and a rise in US Treasury yields weighed on the precious metal’s appeal, while investors focused on US jobs data due later this week. U.S. oil prices rose for a fifth straight day today, reaching their highest level since 2014, on global energy concerns and signs of shortages in crude oil, natural gas and coal.
MTN Uganda to offer 20% stake in initial public offering
MTN Group has agreed to list 20% of its Ugandan unit on the country’s stock exchange. This is the latest move by Africa’s largest mobile operator to allow more local investors to buy and sell stakes in individual units. The South African company’s move is aimed at ensuring broad participation in its operating subsidiaries, it said in a statement on Tuesday. The decision follows the listings of MTN ‘s units in Nigeria, Ghana and Rwanda, partly following pressure from government and local regulators.
AB InBev looks at selling German beer brands for $1.2 billion
Anheuser-Busch InBev NV is looking at selling some of its German beer brands as it focuses on growth away from the world’s most popular alcoholic beverage, according to people familiar with the matter. The portfolio of regional brands could be valued at about 1 billion euros ($1.2 billion),
said the people, who asked not to be identified to discuss confidential information. The world’s biggest beer brewer is working with an adviser as it explores options, they said. The talks are ongoing and it’s not certain AB InBev will decide to sell the German brands, the people said.