Business & Tech News
African Nations Interest Rates and Inflation Numbers Released:
Several African nations released their inflation and Interest rates yesterday (5 Dec) with the inflation rate in Tunisia easing to 6.6% in November 2024, after remaining steady at 6.7% for the previous three months, and reaching its lowest level since December 2021.
The Bank of Uganda left its benchmark interest rate steady at 9.75% following two consecutive rate reductions. Policymakers pointed to subdued inflation and assessed that risks to the inflation outlook remained balanced. The annual inflation has been on a downward trend since August, declining from an over one-year high of 4% in July to stabilize at 2.9% in October and November.
While the Central Bank of Botswana kept its benchmark interest rate steady for the second time at 1.90%. Botswana’s annual inflation rose to 1.6% in October 2024, up from 1.5% in September, which was the lowest since August 2023, but still comfortably within the central bank’s target of 3%-6%.
NASA Not Launching Mission for Now:
The US space agency Nasa has announced a further delay on the launch of its Moon Mission that was originally planned for November 2024. NASA’s Chief, Bill Nelson, announced yesterday that the second mission in the Artemis space programme would be launched in April 2026. The mission plan had been, to send astronauts around the Moon without a landing. The delay will result in the actual Moon landing not taking place until around mid-2027, a year later than originally planned.
The delay has been caused by an issue with the capsule’s heat shield, which returned from the previous test flight excessively charred and eroded, with cracks and some fragments broken off, that needs to be resolved. At a news conference, Nelson commented that “We do not fly until we are ready. We need to do the next test flight, and we need to do it right. And that’s how the Artemis programme proceeds.”
Gold Miners Targeted by Malian Junta Again:
Mali, one of Africa’s biggest gold producers in Mali, has issued an arrest warrant for Barrick Gold’s, Chief Executive, Mark Bristow, a warrant document was issued, escalating a dispute with the Canadian mining company. Bristow, a South African national, last travelled to Mali in July, according to the company website. Barrick Gold’s headquarters are in Toronto. There has been an increasing trend on the military, junta-led government in seeking more income from the gold mining sector to bolster state revenues has been detained mining executives to put pressure on foreign companies operating there to pay higher taxes.
Four senior local employees of Barrick were briefly detained in September as the government demanded about $500 million in apparent, unpaid taxes, and then arrested them again last month pending trial. Bristow is accused of allegedly being involved in money laundering and violating financial regulations, according to the warrant document, first reported by Malian media. Barrick said the company “will not be commenting” on the reported arrest warrant. Barrick’s shares were down 2.9% on the Toronto stock exchange after the news.
Market News
Markets: Indices in the US, all closed in the red yesterday with the NASDAQ closing down by -0,31%, the S&P 500 was marginally down by -0,19% and the Dow Jones also closing down by -0,55%.
Asian markets this morning have been trending lower with the Nikkei down by -0,89% and is at 39043 currently, while the Hang Seng is almost one percent down today by -0.92% and is at 19560.
Currencies: The US Dollar is currently trading at 1.057 against the Euro, at 1,254 against the Pound, and at 150.01 against the Yen. The Rand has gained against a weaker Dollar breaking below the R18.10 level with the currency currently trading at R18.06 to the US dollar and looks to be challenging the R18.00 level.
Commodities:
- Gold is trading flat this morning and is currently at $2,638.15 per ounce
- Platinum prices currently trading level at $942 and with Palladium prices also lower today and at $977 currently
- Brent crude is currently trading slightly lower today and is at $72.87 with WTI also trading lower at $68.33 currently.
- Cocoa prices have gained more momentum this morning, after news of potential crop shortages this season and is currently 5,24% up in early trade this morning and is trading at 7998 British pounds per ton
- Coffee prices have gained over 3% in early trade today, and is currently trading at $3.12
Crypto Currencies
- Bitcoin has slipped back below the $100 000 level and is currently trading at $98,044.36
- Ether up by 3,3% today and trading at $3914.24 currently
(All prices quoted at approximately 08H15 – Central African Time)
Other News in Africa Today
Namibian President-Elect Promises Radical Change:
While opposition parties in Namibia are still claiming election irregularities, Namibia’s President-elect Netumbo Nandi-Ndaitwah, addressing her first media conference yesterday (5 Dec) since winning the presidential election, has promised “radical shifts” in policy that will be targeting the key areas of concern in the country: poverty and unemployment. Nandi-Ndaitwah, who will be sworn into office in March 2025 will be the first woman to hold the post in the country. Nandi-Ndaitwah hinted that she would consider breaking with party predecessor’s policy, on several social and economic issues. SWAPO has governed Namibia since its independence from apartheid South Africa in 1990.
SAA Cancels Flights as Pilots Strike:
South African Airways, yesterday announced the cancellation of several flights, including those to Perth and Sao Paulo, after the SAA Pilots Association announcing that they planned to strike following a deadlock in pay talks.
The company took the decision on Wednesday night to cancel the Perth and Sao Paulo routes after being told the strike planned for Thursday would go ahead. Khaya Buthelezi, the airline’s senior manager of corporate relations, commented that the state-owned airline could not find alternative airlines to accommodate the flights and so were left with no alternative but to cancel them. There were no disruptions to domestic flights or routes across Africa as the airline had made contingency plans, Buthelezi said. Some pilots were picketing outside the SAA office at the OR Tambo International Airport in Johannesburg. The embattled airline had been bankrupt and had had to have several government tax funded financial bail-outs after a failed attempt to get a financial backer to purchase the airline to stay in operation, and had only recently begun expanding flight routes after most had been cancelled previously.
