Business News Today
Eskom Signs Deal with Ferro-Chrome Industry
South Africa’s state power utility, signed a Memorandum of Understanding (MoU) with major ferrochrome producers Samancor Chrome and the Glencore-Merafe Chrome Venture to rescue the beleaguered smelter industry. The sector, vital for stainless steel exports and employing thousands, has faced collapse due to electricity tariffs surging 900% since 2008, compounded by global price pressures, forcing smelter shutdowns and job cuts. The agreement, forged after talks with Energy Minister Kgosientsho Ramokgopa and unions, forms a multi-stakeholder task team to craft long-term solutions, including interim tariff relief pending NERSA approval. Producers pledged to halt layoffs and restart 40% of furnace capacity upon approval, averting over 3,000 job losses.“The MoU formalises a joint commitment to develop a sustainable, long-term intervention for the ferro-chrome sector, which has been severely affected by global market pressures and rising production costs,” Eskom stated.
Consumer Confidence Improves in South Africa
South Africa’s FNB/BER Consumer Confidence Index for the Forth Quarter (Q4) of 2025, rose to -9, up from -13 in Q3 and marking the highest reading of the year, though still below the Q4 2024 level of -6 and long-run average of -1. The improvement signals lifting consumer sentiment heading into the festive season, driven by middle-income households (earning R5,000–R20,000/month), whose confidence surged from -16 to -8. Affluent consumers dipped slightly to -12. Key boosters include interest rate cuts, rand appreciation, lower petrol prices, easing food inflation, and Q3 job gains, building optimism for durable goods purchases and holiday spending. FNB chief economist Mamello Matikinca-Ngwenya commented: “Apart from a further interest rate cut and an appreciation in the rand exchange rate, a number of other positive developments likely buoyed consumer sentiment towards the end of the year,” said Matikinca-Ngwenya.
Kenyan Central Bank Rate Cut on Stable inflation
The Central Bank of Kenya slashed its benchmark interest rate by 25 bps to 9% in its December meeting yesterday. This marks the ninth consecutive rate cut. Governor Kamau Thugge said the decision “will augment the previous policy actions aimed at stimulating lending by banks to the private sector and supporting economic activity”. “The cut will also ensure inflation expectations stay firmly anchored, and the exchange rate remains stable”, he added. The annual inflation rate in Kenya reduced to 4.5% in November from 4.6% in each of the previous two months. Inflation has been below the 5% midpoint of the central bank’s target band since mid-2024. It is expected to remain below that level in the near term, thanks to lower processed food prices, stable energy costs, and continued exchange rate stability.
SpaceX IPO on The Horizon
Reports from various sources indicate that SpaceX is planning to go public in mid-to-late 2026 and is looking to raise $30 billion at a valuation of around $1.5 trillion. Should they go ahead, this would make it the largest Initial Public Offering (IPO) of all time, edging out Saudi Aramco’s public listing in 2019, which brought in $29 billion. Recently, reports emerged indicating that SpaceX was rolling out another secondary share sale for employees that would peg the company’s current valuation at around $800 billion.
A Bloomberg’s report says SpaceX has “firmed up” that share sale in recent days and the valuation is above the $800 billion figure, with employees being allowed to sell around $2 billion worth of shares at $420 per share. The timeline coincides with Musk’s Trillion Dollar pay deal at Tesla and his determination to see the first Moon and Mars colony established which will require massive capital input.
Breaking News Shorts:
- China’s producer prices fell 2.2% year-on-year in November 2025, slightly accelerating from a 2.1% decline in October and marking the 38th consecutive month of contraction. The result came in below market expectations of a 2.0% decline, reflecting ongoing price competition and persistently weak domestic demand. China’s 10-year government bond yield fell to around 1.84% as the annual inflation rate in China lifted to 0.7% in November 2025 from 0.2% in the prior month
- Global Retail and Tech Giant Amazon, announced plans to invest more than $35 billion in India by 2030 to expand operations and strengthen its artificial intelligence capabilities, the U.S. e-commerce giant said today. Amazon said the investment would be targeted at strengthening its operations in Asia’s third-largest economy, where it has boosted spending to compete with Walmart-backed Flipkart
- Hong Kong shares dropped 137 points or 0.5% to 25,295 in early trade today, extending losses for a third session and hitting a two-week low amid broad-based declines. Weak cues from Wall Street weighed on sentiment after the S&P 500 and Dow Jones pulled back overnight, as traders expect a 25bps Fed rate cut later today
- India’s BSE Sensex rose 251 points, or 0.3%, to 84,935 in early trade this morning, ending a two-day slide. Sentiment was boosted amid hopes of US interest rate cuts later today. Potential US–India trade deals also supported sentiment after US Trade Representative Jamieson Greer told lawmakers that India has made its best offer to date in ongoing discussions.
- Silver prices have surged to above $61 per ounce, as expectations of an imminent 25 bp Fed cut met a pronounced squeeze in the physical market. Futures pricing keeps real policy rates on a path that favours precious metals even though stronger labor data cloud the medium term outlook for silver.
Markets by Numbers
Currency markets indicate the US dollar marginally stronger today, with the Euro trading against the US dollar at 1.16269 while the Pound is trading at 1.33046 to the US dollar. The Yen is currently trading at 156.60 to the dollar. The rand (ZAR) is still trading above the key R17 mark to the US dollar and is currently at R17.05.
Commodities:
- Gold futures are marginally lower this morning, after a surge yesterday, and are currently trading around $4203.04 per ounce.
- Copper prices have gained over 0.6% today, with prices currently around $5.2804
- Silver futures prices are marginally lower after a surge yesterday, and currently trading around $60.971
- Platinum futures have dropped by over -1% this morning, and currently trading at $1679.20, While Palladium prices are -0.7% lower this morning, and currently trading around $1504.00 per ounce.
- Brent crude oil prices are flat today, and currently at $62.00 with WTI trading at $58.33
- Cocoa futures have lost over -1.2% today, and currently trading around $5754.31 per ton.
- Coffee futures are flat this morning, and are currently trading at around $3.9229 per pound
Crypto Currencies:
- Bitcoin prices are trending fairly flat today, and trading at around $92609 per coin currently
- Ether prices are marginally lower this morning, and are currently trading around $3320.71
- $Trumpcoin are trending lower today, and currently trading around $5.879
(All prices quoted at approximately 07H20 Central African Time)
Africa News Briefs:
- Elephant conservationist legend, Iain Douglas-Hamilton, passed away at his home in Nairobi on Monday aged 83. Douglas-Hamilton dedicated his life studying and campaigning to protect African elephants, becoming a world-leading expert on their behaviour in the wild. His groundbreaking research exposed the devastating effects of poaching – often at great risk to his own safety – and was instrumental in the banning of the international ivory trade.
- In a disturbing development in the DRC, around 200,000 people have reportedly fled their homes in eastern Congo this week, with at least 74 people killed, and 83 admitted to hospital with wounds from escalating clashes in the area in recent days. This, according to the United Nations, occurred when the Rwandan-backed M23 rebels marched on Uvira, a town on the border with Burundi, just days after Donald Trump hosted the Rwandan and Congolese leaders to sign a peace deal.
