Business & Tech News
Gold hits Two-Month High:
Gold rose further in early trade this morning toward $2,750 per ounce, with a more than 1% gain from the previous session to reach its highest level since early November 2024. The yellow metal has been supported by a relatively softer US dollar and growing demand for the safe-haven asset, as concerns over trade wars lingered following President Trump’s announcement of potential tariff policies. US President Trump, pledged to impose tariffs on the European Union and reiterated his consideration of a 10% tariff on China, following his earlier statement about prospects of imposing hefty levies on Canada and Mexico. The Federal Reserve has determined to keep interest rates elevated for an extended period to control price pressures. This could dampen gold’s appeal, as higher rates increase the opportunity cost of holding non-yielding assets such as gold.
AI Investment Boost Announced:
Stargate, a new joint venture between OpenAI, Oracle and Japan’s Softbank, plan to build new data centres equipped to power artificial intelligence (AI), with a capital input of $100bn “immediately”. OpenAI has previously sought out large investors to build additional infrastructure to support AI development and has pushed for government support for these developments. Sam Altman, CEO of Open Ai commented: “I think this will be the most important project of this era,” the Stargate partnership plans to invest $500bn over the next four years. “We wouldn’t be able to do this without you, Mr President,” he added, crediting newly inaugurated President Trump at the official announcement yesterday. The plan, that will include the construction of AI infrastructure such as data centres, is anticipated to result in more than 100,000 new jobs being established.
Netflix Rules Streaming Service Globally:
Netflix has added 18.9 million subscribers in the fourth quarter of 2024, bringing its total global subscriber base to almost 302 million subscribers. There was a big up-take of subscriptions over the December holiday period. This number outstrips its rival streaming companies by a big margin with Amazon Prime holding around 200 million subscribers globally and Disney Plus with around 153 Million. Netflix has sought to capitalize on its surging popularity by raising prices in the U.S., Canada, Portugal and Argentina as it invests a greater number on creating new programming. Investors reacted enthusiastically to the results, sending Netflix’s stock surging about 13% in extended trade, raising its stock market value by almost $50 billion. Over the last year, Netflix shares have gained more than 77%, outpacing the S&P 500’s 24% rise.
Rupet’s Reinet Swimming in Cash:
Reinet, has sold off all its shareholding in British American Tobacco, raising £1.22-billion to create a substantial corporate war chest for the investment group. In addition, it sold off close to £150-million through on-market sales of British American Tobacco shares over November and December 2024, leaving Johan Rupert’s Global investment holding company, with a significant cash pile for new acquisitions. JP Morgan was the bank entrusted with the share off-load sale and according to reports achieved a full sale clearance within a morning of trade. Reinet has thereby converted a full 24% of its net asset value into cash. The big speculation now is what they intend to do with the cash holding.
Market News
Currencies:
The US Dollar is currently trading upwards at 1.04041 against the Euro, at 1.23192 against the Pound, and at 155.87 against the Yen. The Rand has strengthened below the R18.60 mark this morning, and currently trading at R18.57 to the dollar.
Commodities:
- Gold prices have continued its upward trend for the third day with the price currently at $2,746 per ounce, up almost 2% for the week. Copper has strengthened slightly and currently at 4.2737, while Silver is trading upwards this morning Silver at 30.853
- Platinum prices have gained traction again and is currently trading at $953.50, while Palladium prices are currently trading higher at $961
- Oil prices continue lower in trade this morning, with Brent oil currently trading at $78.97 currently with WTI also trading downwards at $75.36 currently.
- Cocoa futures have moved upwards again this morning, with prices currently at $11 535 per ton.
- Coffee prices have maintained flat, and at $3.28 per pound currently.
Crypto Currencies:
- Bitcoin has gained new upward momentum today, and is currently trading at $105510.
- Ether prices are currently trading stronger at $3308.60 currently.
- $Trumpcoin is currently trading upwards at $42.86, up 22% from yesterday
(All prices quoted at approximately 09H10 – Central African Time)
Other News in Africa Today
Congo New Rebel Insurgency Displaces more Civilians:
The Rwanda backed M23 rebels, have seized the town of Minova in eastern Congo, a key supply route for the provincial capital Goma. A report from authorities yesterday indicated that this had resulted in a mass exodus of residents in the face of a new offensive by the rebel group, which has invaded several strategic towns in recent weeks. The provincial governor of South Kivu, Jean-Jacques Purusi, confirmed the capture of Minova, adding that the rebels have also captured the mining towns of Lumbishi, Numbi and Shanje in the same province and the town of Bweremana in neighboring North Kivu province. M23, or the March 23 Movement, is a militant group composed of ethnic Tutsis who broke away from the Congolese army just over a decade ago.
The group rose to prominence in 2012 when its fighters seized Goma, the capital of North Kivu province and eastern Congo’s largest city, on the border with Rwanda. M23 is one of about 100 armed groups that have been vying for a foothold in mineral-rich eastern Congo, in a decades-long conflict that has created one of the world’s largest humanitarian crises with more than 7 million people having been displaced.
Prison Head in Libya Arrested in Italy for War Crimes:
The head of Libya’s judicial police has been arrested in the Italy, in the town of Turin, after the International Criminal Court had issued a warrant for his arrest. The warrant was for alleged war crimes allegations, of torture, rape and abuse of prisoners. Several media reports have indicated that Osama Najim, who directs Tripoli’s Mitiga detention centre, was reportedly arrested on Sunday. In 2022, the UN said it had uncovered evidence of “serious rights violations”. Mr Najim was arrested in a hotel following a tip from international police body Interpol, Italian newspaper la Repubblica reported.
