| There's good news and there's bad news. The National Treasury has backtracked on plans to raise an additional R40 billion personal taxes over the next four years. But, as is customary at this time of the year, you'll be paying more for petrol, cigarettes and alcohol as sin taxes rise. Finance Minister Tito Mboweni's annual budget appears to have been well received yesterday, with the rand strengthening and the yield on government bonds declining. Better than expected revenue collection for the year was supported by rising commodity prices, which have fed into stronger earnings for mining companies. The increased duty on alcohol is unlikely to be welcomed by producers like Distell. Still, the drinks group has overcome bigger obstacles - like recent bans on alcohol sales - to deliver solid interim results for the first half of its financial year. It was helped by its diverse operations, across products and geographies, as was chemicals and fertiliser group AECI, which managed to maintain its 2020 dividend at the same level as 2019 thanks to its strong cash position. Also in today's newsletter, Adcock Ingram has reported a dip in profits after fewer South Africans caught the cold last winter. And Exxaro is preparing to further reduce its stake in US-listed titanium dioxide company Tronox in a move that will allow it to reduce debt, grow its renewable energy business and perhaps even return cash to shareholders. I hope you have a good day. Stephen Gunnion Managing Editor, InceConnect
The latest from Ingham Analytics In "Booming along" Ingham Analytics reveal some extraordinary statistics in their equity and credit markets analysis that suggest there is going to a larger economic bounce back globally than was thought possible not long ago. This has policy implications, particularly in the US. Could we be looking at a resurgence of inflation? What about markets? Other popular notes include "Dividend delight" and "Carnival or just a Bloody Circus?" | 