US Fed Trims Rate for Third Consecutive Cut
The US Federal Reserve cut its benchmark interest rate by 25 basis points to a range of 3.50%-3.75% late yesterday, marking the third consecutive reduction this year with a softening job market and persistent inflation above 2%. The decision, passed in a divided 9-3 vote, with dissents for no cut or a larger 50bps move indicating a probable cautious pause in easing, projecting just one more cut in 2026 as economic growth is expected to accelerate. US Markets reacted bullishly initially: the Dow surged 1.1%, S&P 500 rose 0.7%, and Nasdaq gained 0.3%, though gains moderated in later trade. The US dollar weakened sharply, with the DXY index falling 0.6% to 98.64—its lowest since October—against majors like the euro and yen. Treasury yields dipped, with the 10-year at 4.143%, easing borrowing costs modestly. This has driven gold prices higher this morning with the yellow metal hitting $2437 earlier today and drifting down slightly to $4212 on profit taking.
Durban Port Partnership to Lift Cargo Volume and Efficiencies
Transport authority Transnet has penned a significant 25-year deal with the Filipino group – International Container Terminal Services International (ICTSI), marking South Africa’s first major port privatisation, with ICTSI investing around R11 billion to boost capacity and efficiency at the Durban Container Terminal (Pier2), starting January 1, 2026, despite past legal challenges. Key Details of the Agreement includes that Transnet will retain a majority ownership in the new entity, while ICTSI manages the terminal’s operations. The partnership will seek to increase Pier 2’s capacity from 2 million to 2.8 million TEUs, improve crane productivity, reduce logistics costs, and enhance supply chain reliability. This is a significant step in South Africa’s economic reforms to attract private investment and revive state-owned ports, which have struggled with inefficiency.
Crypto-Currency “King” To BE Sentenced Today
Cryptocurrency mogul Do Kwon is scheduled to be sentenced in a Manhattan federal court today, after being found guilty for misleading investors who lost billions when his company’s crypto ecosystem collapsed in 2022. Kwon, a South Korean National, referred to as “the cryptocurrency king,” pleaded guilty to fraud charges stemming from Terraform Labs’ $40 billion crash in August. Kwon’s company had promoted its TerraUSD as a reliable “stablecoin”, a kind of crypto currency typically pegged to stable assets to prevent drastic fluctuations in prices. But prosecutors showed it was nothing more than smoke and mirrors that crashed dramatically in 2022, devastating investors and triggering “a cascade of crises that swept through cryptocurrency markets.” As part of his guilty plea, Kwon has agreed to forfeit over $19 million. US prosecutors have asked the court to sentence Kwon to 12 years, and he may still face further charges from South Korean Authorities.
Breaking News Shorts:
- Overview Energy has emerged from stealth with a plan to use the world’s solar panels as nighttime collectors of power beamed down from space.The startup that has raised $20 million, plans to use large solar arrays in geosynchronous orbit, to harvest sunlight. Their energy tech then utilises infrared lasers to transmit the concentrated power to utility-scale solar farms on Earth virtually 24/7.
- Coca Cola has appointed an internal candidate – Henrique Braun as its new CEO on Wednesday. Braun will be replacing James Quincey, as packaged food companies try to adjust their strategies to consumers looking for healthier and more affordable drinks and snacks.
- Japan’s Nikkei 225 fell 0.6% toward 50,300, while the Topix Index declined 0.5% to 3,372 today, reversing earlier gains as SoftBank Group tracked sharp losses in Oracle, in which SoftBank holds a $20B stake. Japanese investing giant SoftBank dropped nearly 7% after US tech firm Oracle plunged over 11% in after-hours trading on a revenue miss and weak profit guidance
- NASA has lost contact with its Maven Spacecraft, launched in 2013 and that has been orbiting and studying the upper atmosphere of Mars for more than a decade. Nasa reports that communication from Maven to its ground stations ended abruptly over the weekend. NASA said this week that it was working fine before it went behind the planet and when it reappeared, there was only silence.
- South Africa’s power utility Eskom, recorded a R24.3-billion profit after tax for the six months, ending September 2025, a 37% year-on-year increase. Speaking at a post-Cabinet media briefing in Pretoria on Thursday, Minister in the Presidency Khumbudzo Ntshavheni noted the period saw consistent energy supply, with only four days of load-shedding, while electricity supply reliability stood at 96% in 2024/25, improving to 98% year to date.
Markets by Numbers
Currency markets indicate the US dollar losing ground today, with the Euro trading against the US dollar at 1.16865 while the Pound is trading at 1.33620 to the US dollar. The Yen is currently trading at 156.06 to the dollar. The rand (ZAR) has gained against a weaker dollar to below the key R17 mark to the US dollar and is currently at R16.97.
Commodities:
- Gold futures are marginally lower this morning, after a surge earlier today, and are currently trading around $4208.93 per ounce.
- Copper prices have dropped by around -0.6% today, with prices currently around $5.2973
- Silver futures prices are marginally lower after a surge earlier today, and currently trading around $61.627
- Platinum futures are marginally higher this morning, and currently trading at $1665.80, While Palladium prices are flat this morning, and currently trading around $1475.50 per ounce.
- Brent crude oil prices are trending lower today, and currently at $61.98 with WTI trading at $58.22
- Cocoa futures have rocketed by 0ver 5.8% today, and currently trading around $6168.00 per ton.
- Coffee futures are surging by over 2.2% this morning, and are currently trading at around $4.0305 per pound
Crypto Currencies:
- Bitcoin prices are trending over -1% lower today, and trading at around $90261 per coin currently
- Ether prices are over -3% lower this morning, and are currently trading around $3209.95
- $Trumpcoin are trending lower today, and currently trading around $5.658
(All prices quoted at approximately 08H00 Central African Time)
Africa News Briefs:
- Uganda and the United States, yesterday announced the signing of a $2.3 billion bilateral health cooperation agreement.The plan forms part of the Trump administration’s “America First Global Health Strategy,”which calls for poorer nations to eventually transition from aid to self-reliance in the fight against infectious diseases.Under this Memorandum of Understanding, Uganda will receive up to $1.7 billion of US funding for its health sector over the next five years.
- The Zuma Family is keeping it’s Member of parliament seat in the family, with Brumelda Zuma being sworn in as one of South Africa’s newest MPs yesterday, representing uMkhonto weSizwe (MK), the opposition party led by her father and ex- president of South Africa, Jacob Zuma. The change happened only two weeks after her half-sister, Duduzile Zuma-Sambudla, who was forced to step down, following allegations that she had miss-led 17 South African men into fighting for Russia as mercenaries in the Ukraine war.
