Story of the Day:
Four weeks into the month of April 2021 bond trading, only two day recorded trades of which Fridays’ trading was the best performance of the week. Bonds of total face value of K436,843,000 were transacted in 34 trades, yielding a market value sales of K189,680,000. The bond market for the past few weeks has been quite mundane as there has been little trading activity going on. Read more
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Zambia’s April annual inflation has signaled an infinitesimal ebb of 0.1% to 22.7% from previous months climb as reported by the Zambia Statistics Agency – ZASA in the capital. The consumer price index – CPI was supported by a 0.6% ease in food inflation to 27.2% offsetting a 0.5% climb in non food prices to 17.5% for the month of April. This nonetheless keeps inflation at a 61 – month high. Read more: The Business Telegraph
The Industrial Development Corporation (IDC) is impressed with ZSIC General Insurance performance in 2020, which has seen an increase in its gross written premiums sitting at K373 million. The increase represents a 46% increase compared to 2019 gross written premiums which closed at K254 million. Read more: ZNBC
President Edgar Lungu says Government is determined to resolve policy and regulatory issues that investors have raised regarding investment in the mining industry. President Lungu also says there is need to develop a simplified mining tax administration. He says the move is meant for easy understanding as Government verifies and audits Mining firms’ reported profits and losses. Read more: ZNBC
The government says it spends US$1.2 billion on fuel importation into Zambia per year. Minister of Energy Matthew Nkhuwa said this of money amount increases annually by between 10-15%. Mr. Nkhuwa disclosed in Luanda, Angola yesterday that it was therefore important that Zambia embraces initiatives that are aimed at reducing the cost of fuel. Read more: Lusaka Times
International Business and Finance
Amazon continued to cash in on our new shop-work-relax-from-home habits in the first three months of this year, reporting a huge rise in sales and a tripling of profits. Revenue rose from $75bn this time last year to $108.5bn for the three months to the end of March. Profit was $8.1bn, up from $2.5bn a year ago. Read more: BBC News
The US economy continued to recover in the first three months of the year as businesses reopened and the government spent heavily on Covid relief for citizens. The economy grew at an annualised rate of 6.4% in the quarter, up from 4.3% in the final three months of 2020. Read more: BBC News
The Biden bust that the Trump campaign warned of has morphed into a Biden boom. The S&P 500 is up 8.6% since the market close on January 20, the final day of the Trump presidency. That means President Joe Biden is on track for the strongest stock market performance during a new president’s first 100 days since John F. Kennedy in 1961, according to CFRA Research. Read more: CNN
Copper hit its highest level in more than a decade. The widely used commodity traded above $4.54 a pound on Thursday, a level not seen since March 2011. It is often viewed as a barometer of economic demand given its use in a broad number of industrial applications. Read more: CNBC
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In 20 trades recorded yesterday, 85,404 shares were transacted resulting in a turnover of K281,938. A share price gain was recorded in Copperbelt Energy Corporation of K0.08. Trading activity was also recorded in First Quantum Minerals and Zanaco. The LuSE All Share Index (LASI) closed at 4,109.26 points, 0.72% up from its previous close of 4,079.47 points. The market closed on a capitalization of K58,223,694,148 including Shoprite Holdings and K23,979,053,374 excluding Shoprite Holdings.
Chart of the Day: