| Good morning Voornaam, The week got off to a busy start, with announcements of two potential delistings on the local market: Bell Equipment and Sasfin. It's easy to read the headlines and assume that both companies are going private in a similar fashion. In reality, the deal structures are completely different and I see them as having significantly different chances of success. Alongside insights from the Pick n Pay rights offer circular and other news as well, you'll get those details in Ghost Bites here.
Speaking of corporate activity, the other end of the spectrum to a delisting is of course a capital raise. These transactions are exactly why companies list in the first place, as markets connect capital to opportunities. Sadly, there's a culture on the local market of focusing on institutional capital raises rather than giving retail investors a chance. Paul Miller is an ex-corporate financier and mining executive. More than that, he's a man on a mission to change that situation. As the founder of Utshalo, he is working on the Orion Minerals share purchase plan that lets retail investors participate in the latest capital raise. Hopefully, this is just the beginning. Get a healthy dose of market passion and insight from him in this podcast and transcript.
Make sure you register for Unlock the Stock this Thursday. It gives you a wonderful opportunity to learn about the REIT (property) sector, which I think is poised for a strong period as rates start to drop. I've positioned myself accordingly. Highly respected property analyst Keillen Ndlovu will be delivering the presentation and will be able to take your questions. To be part of the audience and to have the chance to submit your questions, register here for free to attend on Thursday. This event is brought to you by the South African REIT Association.
Have fun in the markets today! |
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| FEATURED: Investec Structured Products - new product launches |
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| Investec structured products: Andri Joubert joined me to unpack the Rand Nikkei 225 Autocall and the Dollar Euro Stoxx 50 Autocall.
Expand your knowledge of investment opportunities through this podcast and transcript. |
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| FEATURED: Magic Markets - Investing in Global BRNDZ |
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| Magic Markets: Aside from a reflection on the latest quarter and Big Tech driving market indices, this show with Craig Antonie of AnBro and the usual hosts of The Finance Ghost and Mohammed Nalla also delved into the BRNDZ portfolio and the strategy of investing in valuable brands. Get the podcast and transcript here>>> |
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| FEATURED: Stigler's Law - whose idea is it anyway? |
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| | | Dominique Olivier: When you learn that originality is a myth anyway, you feel a lot less pressure to be innovative and do something important. And that is liberating. Read more here. |
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| FEATURED: The Trader's Handbook |
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| | | IG Markets collaboration: In the first episode of this exciting new podcast series, Shaun Murison of IG Markets South Africa joined me for an introduction to the art of trading and why we are doing this series. Get ready to learn about this wonderful element of the markets at this link>>> |
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| | | Ghost Wrap: You need just five minutes to get the latest on a few stocks that I think are worth watching in a GNU environment. KAP, Sephaku Holdings, ArcelorMittal and Nampak are all waiting for you, brought to you by Forvis Mazars. Listen to it here>>> |
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| Unlock the Stock: PBT Group returned to Unlock the Stock to present the recent numbers and take questions from the attendees of the live event. With many topics covered, this recording is well worth watching>>> |
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| Ghost Stories with Kingsley Williams of Satrix: Covering important topics like valuations and diversification, this discussion (and the related transcript) is an excellent learning opportunity for those wanting to develop their investment knowledge. Listen to the podcast or read the transcript at this link>>> Investec No Ordinary Wednesday podcast: The market may be unpredictable, but your investment strategy doesn’t have to be. Investec Investment Management experts share their insights on what approaches are winning, common mistakes investors make, and why staying the course is important. Enjoy it here>>> |
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| International Business Snippet: |
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| Sticking with the banking theme that started yesterday, Goldman Sachs joined the party by beating analyst estimates. This is my other holding alongside JPMorgan, so I'm once again not upset to read this.
Aside from a strong performance in fixed income trading, a boost came from the significant decrease in the provision for credit losses on consumer loans. Interestingly, advisory fees were down on estimates, so the Goldman Sachs M&A team probably got some nasty emails about how a strong base period is no excuse for this, even though that's the exact reason that the CFO gave to the media for the underperformance in that part of the business.
JPMorgan is up 22% year-to-date and Goldman Sachs is up 27%. No complaints here.
If you want to become a better stock picker, Magic Markets Premium is perfect for you. We covered Tesla last week and we are covering Costco this week. To get access to this research and the rest of the vast library, subscribe to the platform here. |
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| IG Morning Call: daily macroeconomic update |
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| Major US benchmarks, the Dow and S&P500 have tested new high territory overnight, while the dollar has gained along with US Treasury Yields. Media wires are attributing these market moves to an increased likelihood of Trump winning the upcoming elections.
European index futures are trading mixed this morning, while Asian markets are mostly lower.
We are expecting a flat to marginally lower start for the JSE All-Share Index today.
The stronger dollar has weighed on emerging market currencies such as the rand, which was notably weaker yesterday.
Oil prices have drifted lower on ceasefire hopes between Hamas and Israel.
Gold has moved closer towards all-time highs despite a firmer dollar.
US retail and core retail sales data is out later this afternoon in an otherwise quiet day in terms of scheduled economic data.
Key Indicators: USD/ZAR R18.21/$ | US 10yr 4.22% | Gold $2,427/oz | Platinum $997/oz | Brent Crude $84.10
The macroeconomic update is based on IG's morning call update |
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