Business News Today
Oil Prices Slide Further
Brent crude oil futures traded lower with a -2% drop this morning, at around $62.4 per barrel on after sliding -2% in the previous session, as expectations of a supply glut outweighed geopolitical risks. Investors are now awaiting reports from the IEA and OPEC+, due later this week, for updated supply-demand guidance. In mid-October, the IEA projected a sizeable surplus for 2026, while OPEC+ last month revised its Q3 outlook from a deficit to a surplus. . Further weighing on prices, reports on Monday indicated that Iraq has restored production at Lukoil’s West Qurna-2 oilfield, which represents 0.5% of global supply, following a temporary shutdown caused by an export-pipeline leak. These supply developments have largely offset geopolitical risk premiums stemming from stalled Ukraine peace negotiations and growing tensions between the US and Venezuela.
IBM Acquisition of Confluent Confirmed
Global tech group IBM, has announced a definitive agreement to acquire Confluent, Inc., the pioneering data-streaming platform built on Apache Kafka, for an enterprise value of $11 billion, including debt. IBM will pay $31 per share in cash—a 34% premium over Confluent’s prior closing price—boosting its shares nearly 30% in early trading. The deal, is to be funded by IBM’s cash reserves and expected to close by mid-2026, aims to supercharge IBM’s hybrid cloud and AI strategies. By integrating Confluent’s real-time data streaming capabilities, IBM plans to deliver an end-to-end “smart data platform” for enterprises, enabling seamless data connection, processing, and governance for generative AI applications and agents. This marks IBM’s largest acquisition in years, following their HashiCorp acquisition in 2024, and flagging its aggressive push to capitalise on the AI boom with surging demand for cloud-native data infrastructure.
Asian Markets Slump on Fed and Trade Data Expectations
India’s BSE Sensex fell 0.5%, to 84,704 in this morning trade, extending losses from the previous session and hitting its lowest level in two weeks amid concerns over US–India trade negotiations. US Treasury Secretary Scott Bessent said on Tuesday that Washington is still working toward a trade deal with India, while reports indicated that the US may impose tariffs on rice imported from India.
Equities in Hong Kong dropped by 0.8% to 25,565 in early trade today, extending losses for a second session after Wall Street weakened overnight. Sentiment was pressured by worries that the U.S. Federal Reserve may deliver a “hawkish cut” Wednesday. On Mainland China, the Shanghai Composite fell 0.2% to below 3,920 this morning, ending a two-day rally as China’s Politburo emphasised boosting domestic demand in 2026 while signalling a measured approach to stimulus. In Korea, the KOSPI fell 0.6% to around 4,130 on Tuesday, reversing gains from previous sessions, as investors turned cautious ahead of the US Federal Reserve rate decision.
AI Investment Market Holds Greatest Risk for 2026
Following on from several recent cautionary reports on the mushrooming AI investment market, the chief investment officer of the significant Australian pension fund Aware Super says, there are flashing “orange” lights in some funding arrangements in the global artificial intelligence industry but earnings growth is backing up the sector’s current valuations. Simon Warner, who became CIO of the A$210 billion ($135.75 billion) fund last week, said the future trajectory of the AI industry’s economic model was the most prominent financial market risk in 2026. in an interview with Reuters, Warner said there was an interdependence between capital expenditure valuations in the so called “Magnificent Seven” stocks and broader wealth effects and domestic demand in the U.S. “I do think there is a dynamic there, but if one of those pillars was to stumble, then we could have a correction,” he said.
Breaking News Shorts:
- Paramount Skydance launched a hostile, $108.4 billion bid to buy Warner Bros yesterday – Discovery (WBD), days after Warner agreed to be acquired by Netflix for $82.7 billion. Warner has offered an all-cash offer of $30 per share, with its offer providing shareholders $18 billion more cash than the Netflix deal, which offered $23.25 in cash and $4.50 in Netflix shares for a total of $27.75 per share.
- Zambia has recorded over US$7.7 billion worth of copper exported in the first ten months of 2025. This comes directly from official government data, reflecting a sector that is regaining momentum. At an average global copper price of around US$10,500 per metric tonne, the US$7.7 billion represents roughly 733,000 metric tonnes of refined copper exported so far.
- US President Donald Trump has announced that he will allow AI chip giant Nvidia to sell its advanced H200 chips to “approved customers” in China.“We will protect National Security, create American Jobs, and keep America’s lead in AI,” Trump said on social media on Monday.The decision will also apply to other US chip companies like AMD.
- The Japanese yen held steady in early Asian trading after a powerful 7.5-magnitude earthquake struck Japan’s northeast overnight, adding to a risk-off mood ahead of several policy decisions from central banks, the U.S. dollar was last flat at 155.885 yen after the quake which prompted evacuation orders and tsunami warnings that were downgraded hours later.
Markets by Numbers
Currency markets indicate the US dollar marginally stronger today, with the Euro trading against the US dollar at 1.16469 while the Pound is trading at 1.33317 to the US dollar. The Yen is currently trading at 155.99 to the dollar. The rand (ZAR) has lost ground to the dollar and now trading above the key R17 mark to the dollar and is currently at R17.03 to the US dollar.
Commodities:
- Gold futures are trending lower this morning, and are currently trading around $4184.57 per ounce.
- Copper prices have dropped by -0.5% today, with prices currently around $5.3220
- Silver futures prices are -0.3% lower this morning, and currently trading around $5.8135
- Platinum futures are flat this morning, and currently trading at $1655.00, While Palladium prices are also flat this morning, and currently trading around $1480.00 per ounce.
- Brent crude oil prices are 0.2% lower today, and currently at $62.35 with WTI trading at $58.70
- Cocoa futures have gained over 0.5% today, and currently trading around $5676.75 per ton.
- Coffee futures have dropped by more than -2% this morning, and are currently trading at around $3.9625 per pound
Crypto Currencies:
- Bitcoin prices are trending lower today, and trading at around $89861 per coin currently
- Ether prices are -0.61% lower this morning, and are currently trading around $3105.15
- $Trumpcoin are trending lower today, and currently trading around $5.659
(All prices quoted at approximately 07H20 Central African Time)
Africa News Briefs:
- Around 100 children of the 250 who were abducted from St Mary’s Catholic school in Papiri last month, have been freed. The children arrived in the Niger state capital, Minna, in a fleet of minibuses escorted by military vans and armoured vehicles, and were received by Governor Umar Bago. Details about their release remain unclear, including whether it was secured through negotiation or by force, and whether any ransoms were paid, according to a Reuters report.
- Following the murder of a key witness in the Mdlanga Commission into police. corruption in South Africa, former whistle blower Dr Athol Williams has highlighted the lack of protection for whistleblowers in South Africa. This is a symptom of two tragic realities which have been perpetuated and exacerbated under the Ramaphosa government, said Williamsnin a recent interview. “Disregard for human life” is tragedy one and “corruption as a norm” is tragedy two, he told the Cape Times in an interview.
