Eskom Holdings SOC Ltd. lifted its power emergency in South Africa after the first rolling power blackouts in six years yesterday shut shops and factories and delayed flights in the continent’s biggest economy.
Credit Suisse Group AG sees Ukraine falling into “sovereign limbo” as Crimea effectively becomes part of Russia, said Robert Parker, the Swiss bank’s senior adviser on investment, research and strategy.
A South African lawmaking committee agreed to revise draft laws to give the state has the right an unspecified share in all new oil and gas ventures at an “agreed price” or part of output, in addition to a previous provision handing it a free 20 percent stake the projects.
Eskom Holdings SOC Ltd. began rolling scheduled blackouts in South Africa for the first time in six years after rain disrupted the state-run utility’s supply of coal, burned to generate more than 80 percent of power.
South African legislators said they plan to adopt changes to mining and oil laws before Parliament adjourns ahead of May 7 elections, overriding industry concern that the measures are ill-considered and will deter investment.
Rand retreats 1% to 10.8655 per dollar by 6:44pm in Johannesburg, 2nd day falling as Ukraine crisis escalates; drops 0.7% vs euro. * Rand is worst decliner among 16 major currencies; 3-mo. implied volatility vs dollar climbs 3bps to 14.35, most out of 16 major currencies * S&P GSCI commodities index +1.8% to 661; spot gold +2.1% to $1,353.80/oz; platinum +1% to $1,461.13/oz * Yld on South African govt bonds due Dec. 2026 rises 4bps to 8.6%, highest level on closing basis since Feb. 24; yld on 10-yr Treasuries -5bps to 2.61% * Foreign investors bought ZAR636m of South African debt Feb. 28; inflows for week ending Feb. 28 ZAR4.61b, paring net sales this yr to ZAR15.1b. * TODAY: Kagiso Manufacturing PMI climbed to 51.7 in Feb. vs 49.9 pvs mo.; median est. of 6 economists in Bloomberg survey was 50.2; Naamsa vehicle sales contracted 3.1% in Feb. vs decline of 6.8% pvs mo. * Escalation of Ukraine crisis represents major shock to risky assets; expect high-beta E
South African Finance Minister Pravin Gordhan aimed to appease investors and voters ahead of May 7 elections as he stuck to spending limits to reduce his budget deficit targets while trimming personal tax.