The world is changing fast and to keep up you need local knowledge with global context.
LATEST ON BIZNEWS RADIO: Politicians playing the immigrant blame game with deadly consequences. (For Spotify, click here)
LATEST ON BIZNEWS.COM:
- Voetsek News24 – Rob Hersov responds to ad hominem attack
- Politicians playing the immigrant blame game with deadly consequences
- Inside August’s CompCom raid on life insurance offices – Sanlam’s bemused CEO Paul Hanratty still none the wiser
- The BizNews Tribe has spoken: Enough is enough!
- How EasyEquities was born – insights from Charles Savage
- Carl despises Hersov, Hersov despises the ANC – all a bit of a bore!
- SLR: Settle into your Crocs and suck up your prejudices
- Not so fast on dumping FAANGS – Omba’s Mark Perchtold explains why the worst may soon be over for the Nasdaq’s fallen angels
- Open Letter to Rob Hersov’s character assassin
- Pratt in the Hat says transport violence is nothing to do with the police
- Is the 60/40 portfolio strategy still effective?
- How I finally conquered my shame & darkness and left my violent abuser
- Wednesday’s by-election results confirm swing away from ANC, smaller parties (Premium)
- Financial Times perspective: After the tech sell-off, will growth investors keep the faith? (Premium)
NB: Getting this newsletter second hand? Click here for your own copy. It’s free and takes under a minute.
In researching our new weekly Briefing podcast for Premium members (subscribe here), I came across interesting insights in the detail on Tuesday’s trading update from the Rhodes Food Group. The message was not specific to Rhodes, but to an entire SA export sector.
The company reported that revenues for the 11 months to end August had risen 21%, boosted by a 66% jump in export revenues with volumes of canned fruit and purees 22.5% higher this year than last. Those are hefty numbers. The news was appreciated by the investing community, which sent the RFG share price 14% higher last week, reversing a six-month downward trend.
RFG disclosed that demand for its products was helped by a failure of the Greek peach crop. Greece is the world’s biggest exporter of the fruit. Equally relevant, though, is the price competitiveness of Rhodes’ cans on the global market. In the 11 months to end August, the Rand averaged R15.76 against the US Dollar from R14.55 a year before, an 8% advantage.
Nice story, but it gets even better. The Rand’s recent drop has taken it to R17.60 against the Dollar. That adds another 11% to an already juicy export profit margin for Rhodes – and the legion of other exporters. The message for South Africans right now? Produce locally, sell globally. And for investors? Hit those Rand Hedge stocks. Hard.
In case you missed the best of BizNews last week, here it is in the weekend edition of the BizNews Digest
To receive the Daily Insider every weekday at 6am in your inbox click here. You can also sign up to the weekend’s BizNews Digest for a wrap of the best content BizNews has to offer, for a leisurely Saturday read.
Cyril Ramaphosa: The Audio Biography
Listen to the story of Cyril Ramaphosa's rise to presidential power, narrated by our very own Alec Hogg.