Capitec, Cashbuild, and National Housing Finance Corporation launch affordable housing project
Capitec Bank, Cashbuild, and the National Housing Finance Corporation (NHFC) have launched Zakhelikhaya to boost investment in affordable housing in South Africa, particularly in Gauteng. The project offers customizable house plans for first-time buyers with incomes between R3,500 and R22,000 per month, combining NHFC’s First Home Finance subsidy with Capitec’s financing and Cashbuild’s construction support. This collaboration aims to help customers achieve homeownership, reduce the housing shortage, and promote community stability.
[Source: Moneyweb]
Shoprite Group pilots’ electricity wheeling at Cape Town
The Shoprite Group has launched renewable electricity wheeling at its Brackenfell headquarters in Cape Town, making it one of the first businesses to do so. Wheeling uses existing power grids to transport renewable energy from generation sites to end users. Excess electricity from Checkers Hyper Brackenfell is sold by Enpower Trading and repurchased by Shoprite for its headquarters. This initiative aims to reduce reliance on the national grid and supports Shoprite’s goal of achieving carbon neutrality by 2050.
[Source: Moneyweb]
TotalEnergies exits challenging South African gas finds
TotalEnergies has abandoned its gas-condensate discoveries at Brulpadda and Luiperd off South Africa’s coast, deeming them too challenging and uneconomical to develop. This decision impacts South Africa’s plans to use more gas to reduce coal dependency for power generation. Despite spending at least $400 million on drilling in difficult ocean currents and finding an estimated 1 billion barrels equivalent of hydrocarbons, the discoveries were not commercially viable. TotalEnergies will also exit an oil block near Cape Town but remains involved in other promising areas near Namibia.
[Source: Moneyweb]
Market moves
The Nasdaq 100 Index is teetering on the brink of a correction, having dropped 8% in just over two weeks, driven by a significant rotation out of Big Tech. This week’s earnings from Microsoft, Meta Platforms, Apple, and Amazon.com are pivotal, especially amidst concerns that heavy spending on artificial intelligence might not yield the expected near-term returns. Investors are also keenly awaiting the Federal Reserve’s interest-rate decision. This rotation has seen a $2.6 trillion sell-off in the Nasdaq 100, with funds flowing into smaller companies and financial and industrial stocks. The outcome of these earnings reports will be critical in determining whether Big Tech can sustain its valuations and market influence.
[Source: Moneyweb]
The week ahead
Today, the Eurozone will release its Gross Domestic Product (GDP) data, South Africa will report its Budget Balance, and China will disclose both Manufacturing and Non-Manufacturing Purchasing Managers’ Index (PMI) figures. Wednesday features the Eurozone’s Consumer Price Index (CPI), South Africa’s Trade Balance, and the United States’ Federal Reserve Interest Rate Decision. On Thursday, South Africa will announce its Manufacturing PMI and Total Vehicle Sales, while the Bank of England will make its Interest Rate Decision. Finally, Friday will bring the United States Unemployment Rate report.
[Source: Investing.com]
Market Performance as at 26 July 2024
Source: FundFocus. Data as at 26 July 2024. Past performance is not a reliable guide to future performance. For illustrative purposes only and not indicative of any investment.
