Major International Business Headlines Brief::: 10 May 2021

[Bulls n Bears]

 <https://bullszimbabwe.com/> 

 


 

 <http://www.bullszimbabwe.com> Bullszimbabwe.com
<mailto:info at bulls.co.zw?subject=View%20and%20Comments> Views & Comments
<https://bullszimbabwe.com/category/blogs/bullish-thoughts/> Bullish
Thoughts        <http://www.twitter.com/BullsBears2010> Twitter
<https://www.facebook.com/BullsBearsZimbabwe> Facebook
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn
<https://chat.whatsapp.com/CF6wllAfScU9Wr6dXxoQnO> WhatsApp
<mailto:info at bulls.co.zw?subject=Unsubscribe> Unsubscribe

 


 

 


Major International Business Headlines Brief::: 10 May 2021

 


 

 


 <https://www.nedbank.co.zw/> 

 


 

 


ü  Cryptocurrency: Musk's SpaceX to launch dogecoin moon mission

ü  Wendy's: Burger giant plans return to the UK after 20 years

ü  Dangerous eBay listings can be removed by regulators

ü  Ford recalls 661,000 Explorer SUVs in North America

ü  Stocks look to gain on payrolls miss, oil up after cyber attack

ü  EXCLUSIVE U.S. Justice Department probing Kabbage, fintechs over PPP loan
calculations -sources

ü  Australia's Star eyes Crown in $7 bln play, vies with private equity

ü  Dutch govt grants $2.4 bln in subsidies to huge carbon storage project

ü  Analysis: Cryptocurrency ethereum is flourishing but risks linger

ü  Dogecoin tumbles after Elon Musk calls it a ‘hustle’ on ‘SNL’ show

ü  Chip shortage in focus as Japan automakers ready to report profit drop

ü  Africa: Top 10 Wealthiest Cities in Africa

ü  Tanzania: Why Tanzania Govt, Private Sector Must Build Digital Economy
Together

 

 

 

 

 

 

 

 


 <https://www.facebook.com/Hyundaizimbabwe/> 

 


 

Cryptocurrency: Musk's SpaceX to launch dogecoin moon mission

Elon Musk has said his rocket company SpaceX will now accept the
meme-inspired cryptocurrency dogecoin as payment.

 

In a tweet he said the commercial space exploration firm will launch the
"DOGE-1 Mission to the Moon" early next year.

 

It came as dogecoin continued to fall after the technology billionaire said
on television that it was a "hustle".

 

Last month, he tweeted that SpaceX was going to put a "literal Dogecoin on
the literal moon".

 

Canada's Geometric Energy Corporation announced the dogecoin-funded mission
earlier on Sunday, although the statement did not reveal its financial
value.

 

"This mission will demonstrate the application of cryptocurrency beyond
Earth orbit and set the foundation for interplanetary commerce", SpaceX Vice
President of Commercial Sales Tom Ochinero was quoted as saying in the
statement.

 

Mr Musk's tweets in recent months have helped to turn the once-obscure
digital currency, which was started as a social media joke, into the world's
fourth-biggest cryptocurrency.

 

It has soared by more than 800% over the last month, with its total market
value rising above $70bn, according to cryptocurrency data tracker
CoinGecko.com.

 

However, dogecoin lost more than a third of its price on Sunday, after Mr
Musk called it a "hustle" while he was hosting the Saturday Night Live
comedy sketch television show.

 

In February, electric carmaker Tesla, where Mr Musk is chief executive, said
it bought $1.5bn worth of bitcoin and was planning to accept the
cryptocurrency as payment for its vehicles.

 

The announcement was seen as another major step towards the mainstream
acceptance of bitcoin and helped to boost the price of the cryptocurrency to
a fresh record high of nearly $62,000.

 

Last month, Tesla announced that its profits for the first three months of
the year were $438m, up from $16m last year, ,bolstered by sales of Bitcoin
and environmental credits.

 

Mr Musk also revealed on Saturday Night Live that he has Asperger's
syndrome.

 

People with Asperger's interpret the environment around them differently to
other people.

 

It is thought to be the first time Mr Musk has spoken about his
condition.-bbc

 

 

Wendy's: Burger giant plans return to the UK after 20 years

America's second largest burger chain is returning to the UK after 20 years
with a promise to steal market share from rivals McDonald's and Burger King.

 

Wendy's, famous for square burgers, plans up to 400 outlets nationwide
creating at least 12,000 jobs, although that could take many years, it said.

 

Wendy's would still be far smaller than McDonald's, which has 1,300 UK
outlets.

 

The firm, which has also agreed a delivery deal with Uber Eats, left the UK
complaining of high operating costs.

 

Abigail Pringle, Wendy's chief development officer, said in media interviews
over the weekend that with the UK burger and takeaway market growing the
time was right for a return.

 

And the UK will be used a springboard for growth in the rest of Europe.

 

A statement said: "The UK launch will spearhead a European-wide expansion as
Wendy's looks to build on strong growth on the other side of the Atlantic,
where the brand last year dethroned Burger King to become the No 2 player in
the US hamburger market."

 

A typical restaurant employs between 30 to 50 staff, the company said.
Wendy's has also promised no zero-hours contracts in a sector
much-criticised for its low pay and working conditions.

 

Crowded market

The first Wendy's will open next month, in Reading, followed by Stratford
and Oxford, and the company said there will be new items on the menu
tailored to the British market, including more vegetarian options.

 

But Wendy's enters a crowded market that was facing tough times even before
lockdown. Gourmet Burger Kitchen and Byron both hit financial trouble and
were sold after restructurings.

 

Wendy's said that even if the UK market does not expand as fast as
anticipated, it still believes it can take market share from rivals by its
emphasis on quality and service. The chain's marketing likes to promote its
use of locally sourced products and fresh meat that is not frozen.

 

The chain was founded in 1969 in Ohio and now has 6,800 outlets. It is
listed on Wall Street with a valuation of $5bn (£3.6bn).

 

Wendy's left the UK in 2001, citing property costs and other overheads that
made expansion unviable.-bbc

 

 

 

Dangerous eBay listings can be removed by regulators

Online seller eBay says it is handing regulators the power to take down
dangerous listings without consulting the company.

 

Officials will be able to remove items "where they have evidence of a risk
to consumer safety", eBay said.

 

In the UK, that will include the Office for Product Safety and Standards and
internet regulator Ofcom.

 

Online market places, such as eBay, are engaged in a constant battle to
ferret out unsafe items sold by their users.

 

That is in part because nearly anyone can create a listing on online auction
sites.

 

Over the years, investigators have found unsafe electrical appliances, toys,
and batteries for sale on a wide range of online marketplaces - including
Amazon and the Chinese site Wish.

 

This latest move, eBay said, was designed to speed up the removal of
"illegal or unsafe items" without waiting for approval from the company.

 

Only selected, trusted authorities will have access to the new tools. But
those that do will have "the ability to take down any listings from the
marketplace themselves", the company said.

 

More than 50 authorities around the world are already involved in the early
stages of the project, it added.

 

Harmful products

EBay said it already had "extensive" reporting systems for customers to use
and took "pro-active" steps to remove banned items.

 

But "eliminating the need for a second level of approval streamlines the
process, making product removal more efficient and reducing the risk of
harmful products being purchased," it said.

 

Lesley Rudd, chief executive of Electrical Safety First, said: "We welcome
any move that speeds up the process of removing dangerous goods online".

 

"Our investigations have continuously found dangerous, unbranded electrical
goods with obvious visual defects for sale to UK consumers. These products
often lack some of the most basic safety features."

 

But she added that more work needs to be done to stop such products going on
sale in the first place.

 

"Online marketplaces must be legally recognised as a retailer in order to
sufficiently tackle the issue of dangerous goods sold via their sites and we
urge the government to include these sites in their forthcoming Online
Safety Bill," she said.

 

One group involved in eBay's new system is Westminster Council. Councillor
Heather Acton said the past year had seen a huge increase in shopping online
- and scams and fraud were a concern.

 

The new tools mean "our trading standards teams have been able to expedite
our processes and ensure that our local communities can continue to be
safe", she said.

 

Another body with access is Ofcom, which among other roles regulates the
radio waves used for broadcast and wireless signals. Certain types of
wireless radio kit are tightly regulated - so that they cannot interfere
with protected signals - and it plans to use the new tools to remove such
items from sale.

 

Murray Lambell, eBay's UK manager, said the pandemic had led online shopping
to become "an even greater part of everyone's lives".

 

"Market places should be taking their responsibility for consumer safety
seriously, but collaboration with authorities is vital," he said.

 

"We hope that other players in the industry will follow suit," he added.-bbc

 

 

 

Ford recalls 661,000 Explorer SUVs in North America

Ford Motor Co (F.N) is recalling 661,000 Explorer sport utility vehicles in
North America at the request of U.S. regulators because retention pins could
loosen and allow roof rail covers to detach from the vehicle.

 

The recall covers 2016 through 2019 model year vehicles. Dealers will
install push-pins and replace any damaged rail clips and roof rail covers.

 

The second-largest U.S. automaker said in documents posted Sunday that the
National Highway Traffic Safety Administration first inquired about the
issue in early 2020 following 11 reports of roof rail cover detachment. In
April, it requested Ford issue a recall, which the carmaker had initially
said was not necessary because the low likelihood of a roof rail detaching,
its small weight and the fact drivers would likely detect a loose roof rail
cover, according to the documents.

 

Ford in November said it would extend its warranty to cover the issue for 10
years or 150,000 miles before agreeing to the recallon April 30.

 

A Ford spokeswoman said Sunday the automaker is not aware of any accidents
or injuries related to this condition.

 

The vehicles covered by the recall have roof rail covers that are painted
silver, black or absolute black. Customer notifications will begin the week
of June 28.

 

The recall includes 620,483 vehicles in the United States, 36,419 in Canada
and 4,260 in Mexico.

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

Stocks look to gain on payrolls miss, oil up after cyber attack

Stocks rose on Monday amid speculation that interest rates will remain low
for an extended period due to the receding risk of a rapid acceleration in
inflation, while oil prices jumped after a cyber attack on a U.S. pipeline
operator unnerved markets.

 

MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS)
rose 0.49%

 

Futures for Japan's Nikkei rose 0.03%. Australian S&P/ASX 200 futures were
down 0.06%. U.S. stock futures rose 0.12%.

 

U.S. nonfarm payrolls data on Friday showed jobs growth unexpectedly slowed
in April, which gave equities a lift but put downward pressure on the dollar
and U.S. Treasury yields.

 

Oil futures extended gains after a cyber attack shut down a U.S. pipeline
operator that provides nearly half of the U.S. east coast's fuel supply.

 

"It certainly pushes back the timetable for Fed tapering, perhaps to
December from the prior expectations of the Jackson Hole Symposium in late
August," Chris Weston, head of research at broker Pepperstone in Melbourne,
wrote in a memo.

 

"A softer payrolls is good for the reflation trade; the dollar weakened
across the FX spectrum. We've also seen a solid bid in equity indices and
futures are up."

 

On Friday the Dow Jones Industrial Average (.DJI) and the S&P 500 (.SPX)
rose to record closing highs after disappointing data on the U.S. jobs
market eased concerns about a spike in consumer prices. 

 

The dollar index (.DXY), which tracks the greenback against a basket of six
currencies edged 0.09% lower to 90.15.

 

Spot gold prices rose 0.15% to $1,833.31 an ounce.

 

The yield on benchmark 10-year Treasury notes steadied at 1.5824% in Asia on
Monday after having plunged to a two-month low of 1.4690% on Friday.

 

West Texas Intermediate crude futures rose 0.89% to $65.48 a barrel, while
Brent crude rose 0.94%to $68.92 in Asian trading as the disruption to U.S.
supplies rattled energy markets.

 

The White House is working closely with top U.S. fuel pipeline operator
Colonial Pipeline on Sunday to help it recover from a ransomware attack that
forced the company to shut its main fuel lines. read more

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

EXCLUSIVE U.S. Justice Department probing Kabbage, fintechs over PPP loan
calculations -sources

The U.S. Department of Justice is investigating whether financial technology
companies including Atlanta-based Kabbage Inc may have erred while
distributing billions of dollars in pandemic aid to struggling small
businesses, three people with knowledge of the matter told Reuters.

 

The investigation, led by the Justice Department's civil division, is
examining whether Kabbage and other fintech companies miscalculated how much
aid borrowers were entitled to from the Paycheck Protection Program (PPP)
due to confusion over how to account for payroll taxes, the three people
said.

 

A fourth person with direct knowledge of the matter said a number of
fintechs were being probed over the PPP tax issues but declined to provide
names.

 

A probe does not necessarily indicate wrongdoing and it was unclear if the
investigation will result in penalties against the companies, two of the
three sources said.

 

A spokesperson for the Justice Department declined to comment.

 

Kabbage Inc., which manages Kabbage's PPP loans and also goes by the brand K
Servicing, did not respond to multiple calls and emails seeking comment.
Spokespeople for American Express Co. (AXP.N), which in August bought most
of Kabbage's assets other than its loan portfolio, declined to comment.

 

The previously unreported probe underscores how the unprecedented $780
billion program, which was launched by the Small Business Administration
(SBA) on April 3, 2020, to mitigate the fallout from COVID-19 shutdowns, has
created legal and reputational risks for some lenders.

 

Reuters reported in November that a handful of federal agencies were
scrutinizing lenders over a range of PPP issues, including failing to
properly vet borrowers' payroll expense calculations and potentially
discriminatory lending policies.

 

Under the PPP, big banks, community lenders and fintechs have dispensed
millions of government-backed loans to small businesses hurt by the pandemic
lockdowns. If borrowers spend the money on payroll and other business
expenses, the government repays the lender on behalf of the borrower.

 

While the program has been hailed as a lifeline for small businesses, its
launch was rushed and many of its rules were initially unclear. One
challenge lenders faced in April 2020 was how to account for federal, state
and local taxes when calculating a company's overall payroll costs, which
determined their maximum allowable loan.

 

Some lenders over-accounted for taxes, potentially inflating loans, while
others under-accounted for taxes, potentially denying borrowers aid they
were entitled to, the two sources said.

 

Fintechs have attracted government scrutiny because they processed loans at
high speed using software that in some cases had glitches, causing errors in
applications, one of the sources said. Other industry sources also said that
fintechs' use of automated lending platforms with few manual checks caused
errors to be replicated across thousands of loans.

 

SBA data showed fintechs have issued around $26.5 billion worth of PPP
loans. Kabbage made nearly 300,000 PPP loans worth $7 billion between April
3, 2020, and Aug. 8, 2020, according to its website.

 

Lenders have said they were under enormous pressure to lend vast sums of
money to millions of businesses quickly, while having to keep up with
ever-changing PPP rules.

 

A spokeswoman for the SBA declined to comment.

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

Australia's Star eyes Crown in $7 bln play, vies with private equity

Australian casino operator Star Entertainment Group (SGR.AX) on Monday
proposed an all-stock buyout of larger rival Crown Resorts Ltd (CWN.AX) that
it valued at A$9 billion ($7 billion), taking on two private equity giants
for control of the troubled company.

 

Three months after Crown was declared unfit for a gambling licence at its
new Sydney resort tower, Star said the share-swap takeover approach would
create "one of the largest and most attractive integrated resort operators
in the Asia Pacific region".

 

The move presents Crown shareholders with a third option after buyout giant
Blackstone Group (BX.N) earlier upped its all-cash indicative bid to A$8.4
billion, while Oaktree Capital Group (OAK_pa.N) has proposed to bankroll a
A$3 billion buyback of Crown's founder's stake, removing a regulatory
concern.

 

Star's approach reflects the intense interest in Crown, which has prized
tourism and real estate assets in three of Australia's four biggest cities
but whose profits and share price have been hit by coronavirus-related
border closures and regulatory woes.

 

If the deal goes ahead, Star said it would pursue a sale and leaseback of
the companies' combined property portfolio covering dozens of hectares of
sought-after waterfront land, generating "significant value".

 

Shares of both companies touched their highest intraday levels since before
the pandemic, giving them a combined market capitalisation of A$13 billion
by mid-session, as investors warmed to the longer term benefits that Star
said were built into its proposal.

 

Star's proposal "has the synergies, and then the sale-and-leaseback provides
the firepower to do buybacks to realise full value for both sets of
shareholders," said John Ayoub, portfolio manager of Wilson Asset Management
which has shares in both.

 

An inquiry in February found Crown had enabled money laundering on its
premises, knowingly dealt with tour operators linked to organised crime and
disregarded the safety of staff in China who were jailed in 2016 for
breaching its gambling ban. It cited the influence of founder and 37% owner
James Packer over the Crown board as a governance problem.

 

Crown, which lost its CEO in the inquiry fallout, said on Monday said it had
appointed Steve McCann, the head of property developer Lendlease Group
(LLC.AX), to the role. Crown said it was considering the Star proposal,
along with the others.

 

Following the inquiry Packer pulled his representatives from the Crown board
and said he would he would defer to the company's leadership about its
future. Since stepping back from running the company in an official capacity
in recent years, Packer has tried several times to sell down or exit his
stake.

 

A Packer spokesman was not immediately available for comment on Monday.

 

'ANTITRUST'

 

While the Star proposal would not require clearance from foreign takeover
regulators, as Blackstone's would, it may attract antitrust scrutiny since
it would create a single gambling behemoth in Australia without a
competitor.

 

When the New South Wales state government approved Crown's Sydney asset in
2013, it cited the need for competition for Star as a reason.

 

An Australian Competition and Consumer Commission spokesperson said Star had
made an approach about its proposal but "we will wait for a submission and
commence a public review after that, if the matter progresses".

 

Star CEO Matt Bekier said there was a small overlap of the two companies'
businesses, which would compete only in Sydney once Crown was allowed to run
its casino, and "we would position the brands at the ends of the consumer
spectrum, rather than letting both brands drift into the centre".

 

Unlike Star, which operates slot machines and mass entertainment, Crown,
which is not allowed to run slot machines in Sydney, was positioned as an
upmarket participant, Bekier noted.

 

"In an ordinary market, a two-to-one merger would not be something that
would be easy to approve at all," said Yane Svetiev, an associate professor
at University of Sydney Law School who specialises in competition law.

 

"(But) I can see somebody making an argument that perhaps it doesn't matter
that much because the market is already heavily regulated anyway," he added.

 

Star's intraday peak of A$4.30 would value the Crown purchase at A$7.8
billion. The jump in Crown shares gave it a market capitalisation of A$8.8
billion.

 

Representatives of Blackstone and Oaktree declined to comment.

 

($1 = 1.2739 Australian dollars)

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

Dutch govt grants $2.4 bln in subsidies to huge carbon storage project

The Dutch government has granted a consortium that includes oil majors Royal
Dutch Shell (RDSa.L) and ExxonMobil (XOM.N) around 2 billion euros ($2.4
billion) in subsidies for what is set to become one of the largest carbon
capture and storage (CCS) projects in the world, the Port of Rotterdam said
on Sunday.

 

Shell and Exxon requested the subsidies in January together with industrial
gas suppliers Air Liquide and Air Products (APD.N) for a project which aims
to capture CO2 emitted by factories and refineries in the Rotterdam port
area and store it in empty Dutch gas fields in the North Sea. read more

 

The companies involved have been told that their applications will be
granted, port spokesman Sjaak Poppe told Reuters, confirming an earlier
report by Dutch public broadcaster NOS.

 

This clears the most important hurdle for the project, which is set to
become operational in 2024 and is expected to reduce emissions in the
industrial cluster surrounding Europe's largest sea port by around 10%.

 

Economy ministry spokesman Dion Huidekooper declined to comment on the
reports on Sunday evening.

 

Details of the subsidies would be made public after decisions had been taken
on all applications for this year, he said, which was expected to happen
later this month.

 

The government has said it will grant a total of 5 billion euros in
subsidies in 2021 for technologies that will help it achieve its climate
goals.

 

It received applications for a total sum of 6.4 billion euros.

 

The CCS subsidies are meant to compensate the companies for the extra costs
of capturing the greenhouse gasses instead of emitting them, while the port
will provide the necessary infrastructure to transport the carbon dioxide to
the empty offshore gas fields.

 

Home to many large industries and Europe's main seaport, the Netherlands is
among the countries with the highest emissions of greenhouse gasses per
capita in Europe.

 

It aims to lower emissions by 55% relative to 1990 levels by 2030. Emissions
were down 24.5% from 1990 levels last year.

 

($1 = 0.8222 euros)

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

Analysis: Cryptocurrency ethereum is flourishing but risks linger

Ethereum has outperformed major digital currency rivals this year, bolstered
by the surge in decentralized finance (DeFi) and the anticipation of a
technical adjustment this summer, but it faces hurdles that could stall its
rise.

 

With a jump of more than 350% in its price this year, ethereum has the
second-largest market capitalization after bitcoin, but not as much cache
and perhaps more operational challenges that could prevent it from eclipsing
its major rival.

 

In the crypto world, the terms "ethereum" and "ether" have become
synonymous. Technically, ethereum is the blockchain network in which
decentralized applications are embedded, while ether is the token or
currency that enables or drives the use of these applications.

 

Ethereum's market cap on Friday was $410 billion, second to bitcoin's at
more than $1 trillion, according to data tracker CoinGecko.com. It hit a
record high of $3,610.04 on Thursday and was last up 1% at $3,524.

 

Bitcoin, meanwhile, has risen a more modest 97% this year. Since hitting an
all-time high of just under $65,000 in mid-April, bitcoin has actually
fallen roughly 18%.

 

A rise in institutional interest has increased ethereum demand, but supply
has been limited. The token's supply in exchanges in April hit its lowest in
nearly 2-1/2 years, according to Kraken Intelligence, a research blog from
cryptocurrency exchange Kraken.

 

"It's more than just a coin. It's a whole ecosystem that allows other
applications to be built," said Bradley Kam, chief executive officer of
blockchain domain provider, Unstoppable Domains.

 

At the heart of ethereum's ascendancy is DeFi, which refers to peer-to-peer
cryptocurrency platforms that facilitate lending outside traditional banking
institutions. Many sites run on the ethereum network, using an open-source
code with algorithms that set rates in real time based on supply and demand.

 

The value locked - the total number of loans on DeFi platforms - was $79
billion as of Friday, DeFi Pulse data showed, up nearly 600% from $11
billion in October.

 

DeFi, however, has its problems. Dune Analytics research showed 2%-5% of
transactions on ethereum-based decentralized exchanges failed due to
complications such as slippage or insufficient "gas" prices, which are the
fees required to successfully conduct a transaction on the ethereum
blockchain.

 

Between April 15 and April 21, for instance, roughly 1.1 million
transactions were made on Uniswap, a DeFi protocol used for exchanging
cryptocurrencies. Of those, 241,262 failed, representing the largest number
of transaction failures across the entire ethereum network, data from
analytics platform Etherscan and Dune Analytics showed.

 

"DeFi is destined for meteoric growth, but that growth inherently comes with
risk," said Alex Wearn, chief executive officer at crypto exchange IDEX.

 

"Issues such as failed transactions and front-running are not subtle,
costing users millions of dollars every day," he said, referring to the
practice of getting a transaction first in line in the execution queue right
before a known future contract. "These major ... problems limit the appeal
of these products for a wider audience and ultimately hinder the ecosystem's
growth."

 

Wearn estimates that more than $285 million were lost in DeFi hacks so far
this year.

 

Proponents say DeFi sites represent the future of financial services,
providing a cheaper, more efficient and accessible way for people and
companies to access and offer credit.

 

TECHNOLOGY BUMPS

 

Ethereum has also been plagued by the network's inability to scale to meet
demand without incurring high transaction fees as well as slow execution of
transactions, market participants said.

 

The first phase of an upgrade called Ethereum 2.0 launched last year is
aimed at addressing the network's tech issues on speed, efficiency, and
scalability.

 

However, John Wu, president of AVA Labs, an open-source platform for
financial applications, pointed out that the planned migration to Ethereum
2.0 has been in the works for years.

 

"The timelines have consistently been delayed, so it's hard to feel
comfortable with that unknown," he said.

 

Ethereum also faces stiff competition from networks such as AVA Labs'
Avalanche and Binance Smart Chain, which are also compatible with ethereum's
assets and applications.

 

Data from AVA Labs showed users have transferred more than $170 million to
Avalanche from ethereum since February.

 

ANOTHER TECHNICAL ENHANCEMENT

 

Still, hopes of a technical adjustment called EIP (ethereum improvement
proposal) 1559, which is expected to go live in July and is seen reducing
the supply of ethereum, has provided a lift for the digital currency.

 

EIP-1559 aims to reduce the volatility of ethereum's fees by introducing a
mechanism to burn some of those transaction fees, which should slow the
token's issuance, analysts said.

 

The impact on ethereum's price could be similar to a bitcoin halving event,
in which an adjustment cut bitcoin's supply and propelled its price to
record highs, analysts said.

 

"There's a lot of numbers going around the market about the potential impact
that has like a halving-type magnitude with bitcoin," said Richard Galvin,
co-founder and chief executive officer of crypto fund Digital Asset Capital
Management.

 

"They're all pretty positive drivers that have, I guess, seen a pretty
strong revaluing."

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

Dogecoin tumbles after Elon Musk calls it a ‘hustle’ on ‘SNL’ show

Dogecoin lost more than a third of its price on Sunday, after Tesla chief
and cryptocurrency supporter Elon Musk called it a 'hustle' during his
guest-host spot on the "Saturday Night Live" comedy sketch TV show.

 

Dogecoin was quoted as low as $0.416 on crypto exchange Binance, down 36%
from levels around $0.65 before the show. It retraced some of that move
later on Sunday, and was last trading around $0.569.

 

The billionaire Tesla Inc (TSLA.O) chief executive hosted the SNL show at
11:30 p.m. EDT on Saturday (0330 GMT on Sunday).

 

Cryptocurrency enthusiasts had for days been eager to see what he would say,
after his tweets this year turned the once-obscure digital currency, which
began as a social media joke, into a speculator's dream.

 

Asked 'what is dogecoin', Musk replied, "It's the future of currency. It's
an unstoppable financial vehicle that’s going to take over the world."

 

When a show cast member Michael Che countered, "So, it's a hustle?", Musk
replied, "Yeah, it's a hustle," and laughed.

 

Musk is the rare business mogul to have been asked to host the venerable
comedy TV show. His appearance on the iconic late night show puts Musk back
in the spotlight just as Tesla's stock is losing steam following last year's
monster rally. 

 

The unconventional CEO has posted numerous comments about cryptocurrencies
on Twitter and criticized regular cash for having negative real interest
rates.

 

"Only a fool wouldn't look elsewhere," he said in February.

 

His cryptic tweets "Doge" and "Dogecoin is the people's crypto" that month
kicked off a rally in dogecoin - created as a parody on the more mainstream
bitcoin and ethereum . read more

 

On Thursday, Musk tweeted: "Cryptocurrency is promising, but please invest
with caution!" with a video clip attached in which he said, "it should be
considered speculation at this point."

 

But he also said, in the video, that cryptocurrency has a "good chance" of
becoming what he called "the future currency of the Earth."

 

Some financial commentators questioned whether it was responsible for Musk
to comment on the cryptocurrency, given he has the power to move its price.

 

"I think he's having a lot of fun ... He can say anything he wants about
dogecoin or cryptos fully aware that just him saying something moves the
price," said James Angel, associate professor at Georgetown University’s
McDonough School of Business, who specializes in financial markets and
cryptocurrency.

 

"Anyone who wants to play the Elon Musk game should be prepared to lose all
their money."

 

The flood of selling appeared to cause problems for popular retail trading
platform Robinhood, which tweeted early on Sunday that due to high trading
volume and volatility some customers had experienced "intermittent issues"
trading cryptocurrencies.

 

The company later said the issues had been resolved and that it would
contact customers affected by the downtime.

 

On crypto data tracker CoinGecko.com, dogecoin has jumped more than 800%
over the last month and is now the fourth-largest digital currency, with a
market capitalization of $73 billion. It hit a record high Thursday above
$0.73.

 

Tesla said in February it bought $1.5 billion worth of bitcoin and would
soon accept it as a form of payment for its electric cars, a large stride
toward mainstream acceptance that sent bitcoin soaring to a record high of
nearly $62,000. read more

 

Tesla shares closed 1.3% higher at $672.37 on Friday.

 

Some crypto experts said that Sunday's dogecoin selloff was driven by
speculation and that Musk had not hurt its long-term prospects.

 

"Long term fundamentals of doge are intact. This is a buying opportunity,"
said Jehan Chu, managing partner at Hong Kong blockchain venture capital
firm Kenetic Capital.

 

"It’s a true social currency - that’s its value."

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 

Chip shortage in focus as Japan automakers ready to report profit drop

While Japan's biggest automakers report what analysts expect to be depressed
earnings this week, investors looking for trading cues will be tuned into
any assessment of the future impact of a global chip shortage that has
forced a shake-up in production.

 

Automakers worldwide have had to adjust or suspend production in the past
few months as factors including a surge in demand for electronic devices
plus U.S. sanctions against Chinese technology firms led to a dearth of
semiconductors.

 

Blackouts in Texas where a number of chipmakers have factories and a fire at
Renesas Electronics Corp's (6723.T) chip plant in Japan have exacerbated the
supply crunch.

 

"The big question will be by how much automakers reduce earnings forecasts
due to the slowdown in production and, consequently, lower sales," said
analyst Julie Boote at Pelham Smithers Associates.

 

"What should be an otherwise strong (post-pandemic) recovery year could be
somewhat dampened by the supply predicament."

 

Still, tighter supplies yet robust auto demand is pushing up vehicle prices,
particularly in the United States, providing a buffer to automakers'
earnings, analysts said.

 

For the year ended March 31, Toyota Motor Corp (7203.T) - the world's
largest automaker by vehicle sales last year - is set to report a 12.5% drop
in operating profit at 2.1 trillion yen ($19.30 billion), showed Refinitiv
SmartEstimate based on 24 analyst estimates.

 

Profit is likely to rebound to 2.6 trillion yen in the current fiscal year
started April 1, Refinitiv SmartEstimate showed.

 

While many global rivals were forced to slash production due to the chip
shortage, Toyota has so far been largely unscathed, likely due to its chip
stockpiling policy, analysts said.

 

Honda Motor Co Ltd (7267.T) will likely report an 11% fall in profit at 560
billion yen, while Nissan Motor Co Ltd (7201.T) is set to report a loss of
142 billion yen, widening from a 40.5 billion yen loss a year prior,
Refinitiv SmartEstimate showed.

 

Honda's profit is likely to reach 791 billion yen in the current business
year, and Nissan is likely to swing to a profit of 141 billion yen,
according to Refinitiv SmartEstimate.

 

Nissan is scheduled to report earnings on Tuesday, followed by Toyota on
Wednesday and Honda on Friday.

 

($1 = 108.8300 yen)

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

Africa: Top 10 Wealthiest Cities in Africa

The wealth of a city is measured by its assets like property, cash,
equities, and business interest as well as all property holdings and primary
residences.

 

According to the world report here are the 10 wealthiest cities in Africa.

 

1. Johannesburg- Also known as Joburg, the South African city is considered
the wealthiest city in Africa with an estimated wealth of $248 billion
(about Sh214 trillion). It is also the most visited city in Africa with more
than 5 million annual visitors. The city is home to 2 dollar billionaires
and about 16000 millionaires.

 

2. Cape Town- It is the legislative capital of South Africa with a total
wealth of $133 billion (about Sh13 trillion) with a population of more than
3.5 million. The city has one dollar billionaire.

 

3. Cairo - It is the capital city of Egypt and the largest in the country.
The city accounts for 22% of Egypt's economy and is home to the most
billionaires in Africa, totaling 5. Its total wealth is $129 billion (about
Sh12.9 trillion).

4. Lagos - It is the most populous city in Africa with over 22 million
inhabitants and its wealth is estimated to stand at $96 billion (about Sh9.6
trillion). Lagos has 2 dollar billionaires and 5400 millionaires.

 

5. Durban - Located on the East coast of South Africa, it is the busiest
point in the country. It is the 3rd wealthiest city in the country with a
total wealth of $54 billion (about Sh5.4 trillion).

 

6. Nairobi - The capital of Kenya has a population of about 4.5 million
people with an estimated total wealth of $49 billion (about Sh4.9 trillion).
Nairobi is the wealthiest and most visited city in East Africa. There are
about dollar 6200 millionaires living in the city.

 

7. Pretoria-  The city is an administrative capital of South Africa and has
a total wealth of $45 billion (about Sh4.5 trillion). It has a population of
over 2.5 million residents making it one of the most populous cities in
South Africa.

 

8. Luanda - it is the capital and the largest city in Angola with a total
net wealth of $42 billion (about Sh4.3 trillion) It is Angola's primary
port, administrative and its chief seaport. The city has only 1 dollar
billionaire.

 

9. Casablanca - It is the largest city in Morocco with an estimated
population of 3.7 million people. It comes in 9th place with a total wealth
of $39 billion (about Sh3.9 trillion). There are 2 dollar billionaires

 

10. Accra - This is Ghana's capital and the second west African country to
make the cut.The West African city is a centre for manufacturing and
marketing. There are currently above 100 people in Accra with a net worth of
$100 million.-Nairobi News.

 

 

Tanzania: Why Tanzania Govt, Private Sector Must Build Digital Economy
Together

Dar es Salaam — The government and members of the private sector stressed on
the need to have joint efforts as a way of easily moving forward with
Tanzania's digital transformation agenda.

 

The Minister for Communications and Information Technology Dr Faustine
Ndugulile met with the members of the CEO Roundtable of Tanzania this week,
calling on them to facilitate the shift. "Ten years ago, most billionaires
were in the manufacturing industry. But now with the information and
communication technology (ICT) transformation across the world, we are
seeing more billionaires in this industry," said Dr Ndugulile, stressing
that ICT is the door to building a digital economy.

 

The digital transformation is one of government's agenda as it is included
in the Tanzania Development Vision 2025 and in the ruling party's manifesto.

 

The government intends to increase broadband reach from 40 percent to 80
percent, improve digital literacy nationwide, enable affordability of
digital services and review the industry's legal and regulatory framework as
part of its ICT priorities.

The CEO Roundtable dialogue which is held monthly, focuses on how joint
collaboration between the public and private sectors could harness
Tanzania's transformative development.

 

This time, the focus was the digital transformation agenda in which the CEOs
of leading firms shared their insights from the business leaders'
perspective in relation to the government's overarching vision.

 

Dr Ndugulile explained that government role would be that of an enabler and
called on the CEOs to be the drivers of digital transformation by liaising
with investors to bring about affordability of digital devices through
public-private partnerships (PPPs).

 

He said the Ministry will also be reviewing investor policies to attract
investment in the ICT sector in Tanzania, and hinted at upcoming major
institutional and functional reforms that will see the regulatory authority
nurture growth of ICT in the country by becoming more of an enabler rather
than policing the industry.

In his plan to create a think-tank to chart how to move forward with the
national digital transformation agenda, Minister Ndugulile encouraged the
private sector to act as advisors and share guidance in working with the
public sector on training and manufacturing of relevant goods including
devices, tower components and fibre optic cables.

 

On the other hand, members of the CEO Roundtable supported the outline of
planned activities but also cited various challenges which should be
overcome on the road to the country's digital transformation.

 

Vodacom Tanzania managing director Mr Hisham Hendi pointed out the need for
extending internet connectivity to the entire population, the smartphone
dependency, and the high taxation on the devices that hinder their
affordability.

 

Minister Ndugulile brought up phone subsidies as a possible solution for
telecoms to consider, reiterating the government's commitment to enabling
progress in digital transformation. PwC Country Senior Partner Mr David
Tarimo also commented on the high costs of digital services in relation to
the ability of ICT to broaden the tax base and eradicate digital poverty.

Furthermore, Mr Martin Warioba, Managing Partner at WS Technology
Consulting, brought up challenges with innovation in the country and the
need to recognize innovators.

 

Addressing a comment from Serengeti Breweries Limited managing director Mark
Ocitti on the importance of data privacy, the minister stated that the
government is working on policies to oversee data privacy and protection,
and would engage the private sector in formalizing the policies.

 

The CEO Roundtable chairman Mr Sanjay Rughani said the platform remains
dedicated to working with the government, its development partners, and
other stakeholders to perpetuate a conducive business environment for
Tanzania's development including the cultural shift in digital growth.

 

"Through its members, the CEO Roundtable can greatly impact the nation's
competitive thinking. By bringing the private sector into the equation, the
government is tapping into connected reflections that are directly linked to
the public," said Mr Rughani.-Citizen.

 

 

 

 


 


 


Invest Wisely!

Bulls n Bears 

 

Cellphone:      <tel:%2B263%2077%20344%201674> +263 77 344 1674

Alt. Email:       <mailto:info at bulls.co.zw> info at bulls.co.zw  

Website:         <http://www.bullszimbabwe.com> www.bullszimbabwe.com 

Blog:
<https://bullszimbabwe.com/category/blogs/bullish-thoughts/>
www.bullszimbabwe.com/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

Facebook:
<http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimba
bwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA>
www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 



 

 

 


 

INVESTORS DIARY 2021

 


Company

Event

Venue

Date & Time

 


FCB

AGM 

virtual

06/05/21 : 3pm

 


NMB

AGM

virtual

1205/21 :  3:30pm

 


 

Africa Day

 

25/05/21

 


Companies under Cautionary

 

 

 


 

 

 

 


ART

PPC

Dairibord

 


Starafrica

Fidelity

Turnall

 


Medtech

Zimre

Nampak Zimbabwe

 


 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

 


DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy or
subscribe for any securities. The information contained in this report has
been compiled from sources believed to be reliable, but no representation or
warranty is made or guarantee given as to its accuracy or completeness. All
opinions expressed and recommendations made are subject to change without
notice. Securities or financial instruments mentioned herein may not be
suitable for all investors. Securities of emerging and mid-size growth
companies typically involve a higher degree of risk and more volatility than
the securities of more established companies. Neither Faith Capital nor any
other member of Bulls ‘n Bears nor any other person, accepts any liability
whatsoever for any loss howsoever arising from any use of this report or its
contents or otherwise arising in connection therewith. Recipients of this
report shall be solely responsible for making their own independent
investigation into the business, financial condition and future prospects of
any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and sourced from third parties.

 


 

 


(c) 2021 Web: <http://www.bullszimbabwe.com>  www.bullszimbabwe.com Email:
<mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77
344 1674

 


 

 

 

 

 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.png
Type: image/png
Size: 9458 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0003.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 31039 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0002.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.png
Type: image/png
Size: 222839 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0004.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.png
Type: image/png
Size: 34378 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0005.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 22328 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 65553 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20210510/fe9f3829/attachment-0001.obj>