Story of the Day:
The manufacturer and distributor of electrical cables and wires, ZAMEFA, has reported a loss after tax of K72.3 million for the year ended September 2019 due in part to weakening operating activity on account of slow settlement of VAT refunds from ZRA and slow payments for product by state-owned enterprises (SOEs), according to a statement from the company. Read more
Local Business and Finance
Gemfields subsidiary Kagem mining recorded an all time high in emerald price per carat of $85.26 in a coloured stone auction whose proceeds were $27.2 million, the highest this year. Read more: The Business Telegraph
The Zambian kwacha has continued on its depreciating trend against major convertible currencies, with the South African rand now catching up with it to trade at K1 to R1, for the first time since rebasing. Read more: News Diggers
Plans to accelerate regional integration are yielding positive results with the African Export-Import Bank (Afreximbank) disbursing US$15 billion towards the initiative. Read more: Zambia Daily Mail
Stanbic Bank Zambia says financial institutions have a significant role to play in helping households as well as small and medium enterprises (SMEs) overcome the country’s electricity crisis by financing projects for alternative power. Read more: IOL News
Zambia has sought financial support from the Abu Dhabi Fund for Development to implement some of the country’s infrastructure development projects. The government has submitted four priority infrastructure development projects to the Abu Dhabi Fund for financing consideration. Read more: China.org
The Kasomeno – Mwenda toll road and Luapula Bridge project will finally be taking off after the governments of the Republic of Zambia and The Democratic Republic of Congo (DRC) signed a Memorandum of Understanding on the project. Read more: Lusaka Times
TopStar has recorded a 10 percent loss in business due to current load shedding being experienced countrywide. TopStar Chief Executive Officer Liu Yingnan also disclosed that due to load shedding, operations cost has increased because the company is now running generator sets at all transmission sites. Read more: ZNBC
International Business and Finance
President Donald Trump declared that talks with China on the first phase of a trade deal were near completion after negotiators from both sides spoke by phone, signaling progress on an accord in the works for nearly two years. “We’re in the final throes of a very important deal,” Trump told reporters at the White House. “It’s going very well.” Read more: Bloomberg
The Securities and Exchange Commission proposed a new rule Monday that would make it more difficult for registered investment advisers and broker-dealers to use leveraged and inverse exchange-traded products with clients. Read more: Investment News
U.S. economic growth picked up slightly in the third quarter, rather than slowing as initially reported, and there are signs the downturn in business investment may be drawing to a close. Read more: Reuters
The United Kingdom’s National Health Service is up for grabs in a post-Brexit trade deal with the United States, the opposition Labour Party revealed on Wednesday, despite Prime Minister Boris Johnson’s unequivocal denials. Read more: Al Jazeera
Global manufacturing has been a drag on the world economy all year. A recovery could be around the corner–but only if conditions are right. Read more: CNN
J.P. Morgan has an optimistic outlook on Asian stocks, with South Korea and India positioned to perform particularly well going into 2020. Read more: CNBC
Capital Markets Report
In 39 trades recorded yesterday, 100,115 shares were transacted, resulting in a market turnover of K126,635. A share price loss of K0.01 was recorded in Lafarge.Trading activity was also recorded in Copperbelt Energy Corporation. The LuSE All Share Index (LASI) closed at 4,259.02 points down by 0.01% from its previous close of 4,259.50 points. The market closed on a capitalization of K56,532,725,628 including Shoprite Holdings and K22,293,519,648 excluding Shoprite Holdings.
Chart of the Day: