Global Investing
Flash Briefing: Eskom to avoid dark winter, May shedding hard Brexit, ANC’s integrity committee Aced
If Eskom sticks to its turnaround plan, there will either be no load shedding or at worst Stage 1 load shedding over the winter.
By Linda van Tilburg
In today's global headlines:
- Public Enterprises Minister Pravin Gordhan told a media briefing on Eskom that the worst of load shedding is over. He said Eskom had a well-constructed plan to avoid a dark winter. If Eskom sticks to its turnaround plan, there will either be no load shedding or at worst Stage 1 load shedding over the winter. Gordhan said there was a better understanding of the challenges Eskom faced with possible solutions.
- South African bonds are back in favour. Foreign investors have bought a net R6.8bn of government bonds since Friday after outflows of R81m in March. That pushed cumulative inflows this year to R18.8bn. It was driven partly by a re-weighting of the JP Morgan Government Bond Index- Emerging Markets and Moody's decision to defer a review of South Africa. It's not only foreign investors who covet the bonds.
- In the United Kingdom Prime Minister Theresa May appears to be turning her back on the hard Brexiteers in her party as she held talks for two hours today with opposition leader Jeremy Corbyn. Both agreed that the talks were constructive. May's government also sought to reassure Ireland that the latest effort to break the deadlock is genuine. The talks will continue tomorrow.
- The Ethiopian pilots at the controls of the Boeing 737 Max that crashed near Addis Ababa did initially follow emergency procedures laid out by Boeing, but still failed to recover the jet from its downward path. It calls into question assertions by Boeing and the US Federal Aviation Administration that a misfire of the system could be overcome by following established procedures.
- The United States Food and Drug Administration is investigating whether there is a link between e-cigarettes and seizures. A potential link was spotted mostly in young vapers, but the FDA stressed only 35 cases have been reported to them. They are trying to ascertain whether it is a wider phenomenon.
- Back home, the ANC's integrity committee says they have no powers to summon ANC Secretary-General Ace Magashule following the allegation made about him in Pieter-Louis Myburgh's book. For an analysis on how the ANC could rescue Ramaphoria and the risk of 'the other game in town' coming out tops, read Susan Booysens analysis on Biznews.com.
