<figure class="wp-block-image size-full is-resized"><img loading="lazy" decoding="async" width="720" height="425" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg" alt="" class="wp-image-498541" style="width:840px;height:auto" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg 720w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-300x177.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-152x90.jpg 152w" sizes="auto, (max-width: 720px) 100vw, 720px" /><figcaption class="wp-element-caption">Kenya shilling coins and notes are pictured inside a cashier&#8217;s booth at a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Feb 7 (Reuters) &#8211; Kenya&#8217;s shilling strengthened against the dollar on Friday, London Stock Exchange Group data showed.



At 0715 GMT, the shilling was quoted at 128.25/129.25, compared with Thursday&#8217;s closing rate of 129.00/130.00.



(Reporting by George Obulutsa; Editing by Elisha Bala-Gbogbo)

ANCK25OQIFMHTJYACOM5XU5T24

Kenyan shilling firms versus dollar, LSEG data shows

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-501467" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1-135x90.jpg 135w" sizes="auto, (max-width: 612px) 100vw, 612px" /></figure>



JOHANNESBURG, Feb 7 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Friday.



<h2 class="wp-block-heading" id="h-economic-events">ECONOMIC EVENTS</h2>



South Africa&#8217;s net foreign reserves rose to $61.328 billion in January



South African inflation-linked bond auction



<h2 class="wp-block-heading" id="h-south-african-markets">SOUTH AFRICAN MARKETS</h2>



The South African rand was little changed on Thursday as investors turned their attention to President Cyril Ramaphosa&#8217;s national address for insights on future economic and political policies.



On the stock market, the Top-40 index closed 0.9% higher.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



Asian stocks inched up on Friday ahead of key U.S. payrolls data as investors considered prospects that a broader trade war could be averted, while the yen hit its highest in nearly two months on rising odds of more rate hikes in Japan this year.



WALL STREET



The S&amp;P 500 and the Nasdaq ended higher while the Dow closed lower after a choppy trading session on Thursday, as investors sifted through earnings reports and awaited Amazon&#8217;s results after the bell and a key jobs report on Friday.



<h2 class="wp-block-heading" id="h-gold">GOLD</h2>



Gold prices rose on Friday, hovering near record-high levels and set for a sixth successive weekly gain, as trade war concerns fuelled safe-haven buying ahead of the key U.S. payrolls report.



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



<h2 class="wp-block-heading" id="h-business-day">BUSINESS DAY</h2>



&#8211; Anglo faces second De Beers writedown



<h2 class="wp-block-heading" id="h-fin-24">FIN 24</h2>



&#8211; Ramaphosa punts second wave of economic reform and big infrastructure plans



&#8211; No R1bn state bailout to save ArcelorMittal mills, but a rescue package is expected soon



(Compiled by Sfundo Parakozov)

istockphoto-1076949610-612×612-1-2

South African Markets – Factors to watch on February 7

K-pop group NewJeans changes name to NJZ

K-pop group NewJeans changes name to NJZ, announces March performance dates amid contract dispute

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="562" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-820x562.jpg" alt="" class="wp-image-579752" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-820x562.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-300x206.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-131x90.jpg 131w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-768x526.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-1536x1053.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2196255677-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">SAN ANSELMO, CALIFORNIA &#8211; JANUARY 27: In this photo illustration, the DeepSeek app is displayed on an iPhone screen on January 27, 2025 in San Anselmo, California. Newly launched Chinese AI app DeepSeek has surged to number one in Apple&#8217;s App Store and has triggered a sell-off of U.S. tech stocks over concerns that Chinese companies&#8217; AI advances could threaten the bottom line of tech giants in the United States and Europe. (Photo Illustration by Justin Sullivan/Getty Images)</figcaption></figure>



DeepSeek has rattled the U.S.-led AI ecosystem with its latest model, shaving hundreds of billions in chip leader Nvidia’s market cap. While the sector leaders grapple with the fallout, smaller AI companies see an opportunity to scale with the Chinese startup.



Several AI-related firms told CNBC that DeepSeek’s&nbsp;emergence is a “massive” opportunity for them, rather than a threat.&nbsp;



“Developers are very keen to replace OpenAI’s expensive and closed models with open source models like DeepSeek R1&#8230;” said Andrew Feldman, CEO of artificial intelligence chip startup Cerebras Systems.



The company competes with Nvidia’s graphic processing units and offers cloud-based services through its own computing clusters. Feldman said the release of the R1 model generated one of Cerebras’ largest-ever spikes in demand for its services.&nbsp;



“R1 shows that [AI market] growth will not be dominated by a single company — hardware and software moats do not exist for open-source models,” Feldman added.&nbsp;



Open source refers to software in which the source code is made freely available on the web for possible modification and redistribution. DeepSeek’s models are open source, unlike those of competitors such as OpenAI.



DeepSeek also claims its R1 reasoning model rivals the best American tech, despite running at lower costs and being trained without cutting-edge graphic processing units, though industry watchers and competitors have questioned these assertions.



“Like in the PC and internet markets, falling prices help fuel global adoption. The AI market is on a similar secular growth path,” Feldman said.&nbsp;



<h2 class="wp-block-heading" id="h-inference-chips-nbsp"><a></a>Inference chips&nbsp;</h2>



DeepSeek could increase the adoption of new chip technologies by accelerating the AI cycle from the training to “inference” phase, chip start-ups and industry experts said.



Inference refers to the act of using and applying AI to make predictions or decisions based on new information, rather than the building or training of the model.



“To put it simply, AI training is about building a tool, or algorithm, while inference is about actually deploying this tool for use in real applications,” said Phelix Lee, an equity analyst at Morningstar, with a focus on semiconductors.&nbsp;&nbsp;



While Nvidia holds a dominant position in GPUs used for AI training, many competitors see room for expansion in the “inference” segment, where they promise higher efficiency for lower costs.



AI training is very compute-intensive, but inference can work with less powerful chips that are programmed to perform a narrower range of tasks, Lee added.



A number of AI chip startups told CNBC that they were seeing more demand for inference chips and computing as clients adopt and build on DeepSeek’s open source model.&nbsp;



″[DeepSeek] has demonstrated that smaller open models can be trained to be as capable or more capable than larger proprietary models and this can be done at a fraction of the cost,” said Sid Sheth, CEO of AI chip start-up d-Matrix.&nbsp;



“With the broad availability of small capable models, they have catalyzed the age of inference,” he told CNBC, adding that the company has recently seen a surge in interest from global customers looking to speed up their inference plans.&nbsp;



Robert Wachen, co-founder and COO of AI chipmaker Etched, said dozens of companies have reached out to the startup since DeepSeek released its reasoning models.



“Companies are [now] shifting their spend from training clusters to inference clusters,” he said.&nbsp;



“DeepSeek-R1 proved that inference-time compute is now the [state-of-the-art] approach for every major model vendor and thinking isn’t cheap &#8211; we’ll only need more and more compute capacity to scale these models for millions of users.”



<h2 class="wp-block-heading"><a></a>Jevon’s Paradox&nbsp;</h2>



Analysts and industry experts agree that DeepSeek’s accomplishments are a boost for AI inference and the wider AI chip industry.&nbsp;



“DeepSeek’s performance appears to be based on a series of engineering innovations that significantly reduce inference costs while also improving training cost,” according to a report from Bain &amp; Company.



“In a bullish scenario, ongoing efficiency improvements would lead to cheaper inference, spurring greater AI adoption,” it added.&nbsp;



This pattern explains Jevon’s Paradox, a theory in which cost reductions in a new technology drive increased demand.



Financial services and investment firm Wedbush said in a research note last week that it continues to expect the use of AI across enterprise and retail consumers globally to drive demand.



Speaking to CNBC’s “Fast Money” last week, Sunny Madra, COO at Groq, which develops chips for AI inference, suggested that as the overall demand for AI grows, smaller players will have more room to grow.



“As the world is going to need more tokens [a unit of data that an AI model processes] Nvidia can’t supply enough chips to everyone, so it gives opportunities for us to sell into the market even more aggressively,” Madra said.

Newly Launched Chinese AI App DeepSeek Causes U.S. Tech Stocks To Tumble, Amid Its Rapid Rise To #1 In Apple’s App Store

DeepSeek has rattled large AI players — but smaller chip firms see it as a force multiplier

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1080" height="720" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/HACNBSSITZP6VKINH5EEMDGPKI.avif" alt="" class="wp-image-583356"/><figcaption class="wp-element-caption">South African President Cyril Ramaphosa briefs the media on South Africa&#8217;s G20 presidency for 2025 at the parliament in Cape Town, South Africa, December 3, 2024. REUTERS/Esa Alexander/File Photo</figcaption></figure>



CAPE TOWN, Feb 6 (Reuters) &#8211; South African President Cyril Ramaphosa said on Thursday that his country &#8220;will not be bullied,&#8221; days after U.S. President Donald Trump said he would cut off funding to South Africa over a land reform act.



Trump said on Sunday, without citing evidence, that &#8220;South Africa is confiscating land and treating certain classes of people very badly,&#8221; alluding to a new law which aims to even racial disparities in land ownership.



Ramaphosa did not mention Trump by name, but spoke of growing geopolitical tensions in his annual state of the nation address.



&#8220;We are witnessing the rise of nationalism, protectionism, the pursuit of narrow interests and the decline of common cause,&#8221; he said.



&#8220;We will stand together as a united nation, and we will speak with one voice in defence of our national interests.&#8221;



South Africa was also criticised this week by U.S. Secretary of State Marco Rubio, who said he would not attend an upcoming G20 summit in Johannesburg because &#8220;South Africa is doing very bad things&#8221; such as &#8220;using G20 to promote solidarity, equality, and sustainability.&#8221;



South Africa took over the G20 presidency in December, becoming the first African country to do so, and Ramaphosa has said he would use the opportunity to advance the interests of Africa and the Global South.



South Africa is about seven months into a coalition government that was formed after the African National Congress lost its parliamentary majority in an election last year, forcing it to team up with its biggest rival, the Democratic Alliance.



Ramaphosa said the government would launch a second wave of reforms to try to lift economic growth above 3%, focusing on boosting struggling state companies like power utility Eskom and logistics group Transnet and investing in infrastructure.



The central bank&#8217;s most recent forecast is that Africa&#8217;s most industrialised economy will grow 1.8% this year.



(Reporting by Wendell Roelf and Tannur Anders; Additional reporting by Sfundo Parakozov and Bhargav Acharya;Writing by Nellie Peyton; Editing by Alexander Winning)

HACNBSSITZP6VKINH5EEMDGPKI

South Africa ‘will not be bullied,’ Ramaphosa says after Trump attack

Why More Americans Are Being Pushed Into Poverty | CNBC Marathon

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3334" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/KEFKFP5ACNOV3K5X7PWY25YYDI.avif" alt="" class="wp-image-583260"/><figcaption class="wp-element-caption">Exxaro Resources CEO Dr. Nombasa Tsengwa speaks to Reuters, at the Investing in African Mining Indaba 2024 conference, in Cape Town, South Africa, February 7, 2024. REUTERS/Esa Alexander/File Photo</figcaption></figure>



Feb 6 (Reuters) &#8211; The CEO of South African coal miner Exxaro Resources, Nombasa Tsengwa, has resigned with immediate effect, the company said on Thursday, two months after she was suspended pending a governance probe.



Long-time finance director Riaan Koppeschaar, who has been acting CEO since December, will continue in the role while the company looks for a permanent replacement, Exxaro said in a statement.



(Reporting by Nelson Banya)

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South Africa’s Exxaro Resources says CEO Tsengwa has resigned

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4975" height="3478" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/FIA5UV2YSBO23I6DVT5DI7HBSQ.avif" alt="" class="wp-image-583241"/><figcaption class="wp-element-caption">Vedanta Base Metals CEO Chris Griffith speaks to Reuters at the Investing in African Mining Indaba 2024 conference in Cape Town, South Africa February 7, 2024. REUTERS/Esa Alexander/File Photo</figcaption></figure>



CAPE TOWN, Feb 6 (Reuters) &#8211; Vedanta Resources is trying to raise around $1 billion in debt financing to fund development of its Konkola Copper Mines (KCM) in Zambia, Chris Griffith, head of the company&#8217;s base metals unit, said.



The Indian company, which owns 80% of KCM, said last year it planned to sell at least 30% of its holding in the copper mines.



But Griffith said selling a stake looked less likely.



&#8220;We are in a much higher likelihood that we can raise the funds from a range of financing options,&#8221; Griffith told Reuters on the sidelines of the Mining Indaba conference in Cape Town.



&#8220;We own 80% of the business and clearly we&#8217;d prefer to continue owning 80% of the business.&#8221;



Vedanta, owned by Indian billionaire Anil Agarwal, is weighing various debt fund raising options, Griffith said without specifying details.



It wants the $1 billion in funding to boost copper output at KCM to about 300,000 metric tons per year over the next five years.



Vedanta regained control of the assets in 2024 after a five-year tussle to recover the copper mines and smelter that the government of former Zambian president Edgar Lungu had seized. The former administration accused Vedanta of failing to invest to expand copper production.



The Zambian government owns the remaining 20% stake in KCM through state investment firm ZCCM-IH.



United Arab Emirates firm International Resources Holding last year withdrew an offer to buy Vedanta&#8217;s 51% stake in the copper mines, citing differences in valuation of the assets.



Since then, Vedanta&#8217;s debt position has improved after it refinanced its bonds and this might help the company to raise more cash internally alongside external debt options, Griffith said.



He said it had secured short-term financing to pay outstanding debts.



(Reporting by Felix Njini in Cape Town; editing by Barbara Lewis)

FIA5UV2YSBO23I6DVT5DI7HBSQ

Vedanta aims to raise $1 bln via debt to fund Zambian copper mines

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4795" height="3197" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/DT3MRWIAVBNLPG5NKLM5P7HA4Y.avif" alt="" class="wp-image-583221"/><figcaption class="wp-element-caption">Laurent Muschel, HERA Director General, and Jean Kaseya, Africa CDC Director General, stand near mpox vaccines as first batches arrive at N&#8217;Djili International Airport in Kinshasa, Democratic Republic of Congo September 5, 2024. REUTERS/Justin Makangara/File Photo</figcaption></figure>



LONDON, Feb 6 (Reuters) &#8211; Africa&#8217;s leading public health official will write to the U.S. Secretary of State on Thursday to highlight how the U.S. aid freeze is threatening the lives of people across the continent and efforts to contain disease outbreaks that could ultimately impact Americans.



Jean Kaseya, head of the Africa Centres for Disease Control and Prevention (CDC), will raise concerns with Marco Rubio about the impact on patients with diseases like HIV and the risk of an mpox pandemic also fuelled by conflict in eastern Congo, he told Reuters.



&#8220;When I got the information about the pause &#8230;I was alarmed,&#8221; Kaseya said. &#8220;How can we respond to all of the ongoing outbreaks if we don&#8217;t have funding?”



Kaseya wrote to African leaders over the weekend warning that without urgent intervention to plug the financial gaps caused by the U.S. freeze and other governments cutting aid budgets there could be an additional 2-4 million deaths from preventable diseases a year on the continent.



&#8220;This pause will not just affect Africa but also the U.S.,&#8221; he said, warning that disease outbreaks will spread further without fully-funded efforts to stop them.



Conflict was also threatening the health response in parts of Africa, Kaseya added, which he included in both letters.



Fighting in the eastern Democratic Republic of Congo has impacted the mpox response as well as measles and cholera outbreaks, he said. For example, millions of doses of mpox vaccines, including doses donated by Japan for children, are stuck in Kinshasa because of the security situation in Goma.



&#8220;The U.S. and others don&#8217;t have to forget the lessons of COVID. When you don&#8217;t open your eyes to something ongoing in Africa, we can have a mutation of the virus that will become a pandemic and affect all of us,&#8221; said Kaseya.



The U.S. aid pause and funding freeze means Africa CDC is short around $200 million for its efforts to fight mpox, he said, part of the $1.1 billion originally pledged.



For this and other efforts the aid freeze must be lifted quickly, he said, although he thanked Rubio for the waiver put in place for lifesaving aid and the President&#8217;s Emergency Plan for AIDS Relief (PEPFAR).



(Reporting by Jennifer Rigby; Editing by Ros Russell)

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Africa’s top health official presses U.S. to resume aid

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="3654" height="2092" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/34DG5BPJTVPCBBGSRYAMLZGNRA.avif" alt="" class="wp-image-583202"/><figcaption class="wp-element-caption">A general view shows the capital city of Kampala in Uganda, July 4, 2016. REUTERS/James Akena/File Photo</figcaption></figure>



KAMPALA, Feb 6 (Reuters)&nbsp;&#8211;&nbsp;Uganda&#8217;s central bank held its key lending rate for the second meeting in a row on Thursday, saying near-term inflation appeared well-contained but that the outlook was more uncertain than normal given external risks.



The Central Bank Rate was kept at 9.75%.



Annual core inflation, which the Bank of Uganda aims to keep at about 5%, rose to 4.2% in January, up from 3.9% the previous month.



The bank forecasts core inflation of between 4% and 5% this year, though there are risks from geopolitics, extreme weather and a strong U.S. dollar, Bank of Uganda deputy governor Michael Atingi-Ego told a news conference.



&#8220;Uncertainties from global developments could cause inflation to rise faster and disrupt economic activity. This situation necessitates a cautious approach to monetary policy,&#8221; Atingi-Ego said.



He said the bank&#8217;s projections for economic growth remained unchanged from its December policy meeting, at between 6%-6.5% in the financial year to June 2025, and 7% for the following years, supported by a stable macro-economic environment and foreign direct investment (FDI) towards the extractive industries.



Uganda expects to start pumping crude oil commercially this year, which has helped bolster FDI.



Responding to questions from reporters about the impact of U.S. President Donald Trump&#8217;s trade policies, Atingi-Ego said tariffs on countries like China were likely to spur price rises in African countries.



&#8220;It will affect the global inflation, and Uganda of course is not in an island. We will end up importing some of that inflation,&#8221; he said. &#8220;That means we will have to see how to tighten monetary policy going forward.&#8221;



(Reporting by Elias Biryabarema; Writing by Hereward Holland; Editing by Alexander Winning, William Maclean)

34DG5BPJTVPCBBGSRYAMLZGNRA

Uganda holds key rate, says near-term inflation looks well-contained

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="3834" height="2402" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/5OMVZV4VZBNBNI3UP6TQZXKT2M.avif" alt="" class="wp-image-583183"/><figcaption class="wp-element-caption">A general view shows people walking past the Central Bank of Kenya headquarters building along Haile Selassie avenue in Nairobi, Kenya October 9, 2017. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Feb 6 (Reuters) &#8211; Kenya&#8217;s central bank governor said on Thursday that bank officials did not see much effect on the exchange rate from U.S. President Donald Trump&#8217;s foreign aid freeze.



In late January, Trump placed a pause on most foreign development assistance pending assessments of efficiencies and consistency with his foreign policy.



Central Bank Governor Kamau Thugge cited strong remittance inflows among reasons why Kenya&#8217;s foreign exchange reserves were healthy at roughly $9 billion, or more than four months of import cover.



&#8220;We don&#8217;t see much impact on the exchange rate from the freeze on aid. We see our foreign exchange reserves remaining fairly strong, exchange rate stable,&#8221; he told a news conference.



On Wednesday, Finance Minister John Mbadi said Trump&#8217;s move to freeze aid could hit Kenya hard, as it lacks the fiscal space to replace the funding, adding that he hoped the United States would reconsider its decision.



Kenya&#8217;s shilling currency is broadly unchanged year-to-date against the dollar.



It closed 2024 up about 21% after a bond buyback eased concerns that the government could default.



On Wednesday, the central bank cut its main interest rate for the fourth meeting in a row, saying it wanted to do more to support lending and boost economic growth.



The Central Bank Rate was lowered by 50 basis points to 10.75%, in line with the forecast of a Reuters poll of four economists.



(Reporting by George Obulutsa; Editing by Alexander Winning, William Maclean)

5OMVZV4VZBNBNI3UP6TQZXKT2M

Kenya central bank sees minimal effect on shilling from Trump aid freeze

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/UGANDA-SHILING.jpg" alt="" class="wp-image-545991" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/UGANDA-SHILING.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/UGANDA-SHILING-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/UGANDA-SHILING-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/UGANDA-SHILING-768x512.jpg 768w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Uganda shillings. Uganda. (Photo by: Godong/Universal Images Group via Getty Images)</figcaption></figure>



KAMPALA, Feb 6 (Reuters) &#8211; The Ugandan shilling was flat on Thursday ahead of a central bank rate decision, LSEG data showed.



At 0801 GMT commercial banks quoted the shilling at 3,675/3,685, the same level as Wednesday&#8217;s close.



(Reporting by Elias Biryabarema; Editing by George Obulutsa)

UGANDA SHILING

Ugandan shilling flat ahead of central bank rate decision

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-820x547.jpg" alt="" class="wp-image-408693" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-120x80.jpg 120w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-154793099-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A sign stands at the entrance to the offices of Anglo American Plc in the Marshalltown district of Johannesburg, South Africa, on Friday, Oct. 26, 2012. Anglo American Plc Chief Executive Officer Cynthia Carroll , the first woman, external hire and non-South African to hold the job, will quit after Anglo lost $14 billion in value in the more than five years she was in charge. Photographer: Chris Ratcliffe/Bloomberg via Getty Images</figcaption></figure>



Feb 6 (Reuters) &#8211; Global miner Anglo American on Wednesday posted a 6% fall in copper production last year to 773,000 metric tons, and reduced its output forecast for rough diamonds for 2025 and 2026 on lower demand.



The London-listed miner expects 2025 copper production of 690,000-750,000 tons and 760,000-820,000 tons in 2026. The metal is used for electric vehicles and renewable infrastructure.



Its 2024 rough diamond production dropped 22% to 24.7 million carats, the lower end of its guidance. Anglo cut its production forecast for 2025 to a range of 20 million to 23 million carats, from 30 million to 33 million previously, as demand remains low and inventories high.



The miner is restructuring its business to mainly focus on energy transition metal copper, as well as iron ore, after fending off a $49 billion takeover offer from BHP Group in May.



It is looking to sell or spin off its diamond unit De Beers. CEO Duncan Wanblad said on Monday the divestment would be &#8220;substantively complete&#8221; by the end of 2025.



Anglo will post its 2024 financial results on February 20.



(Reporting by Clara Denina; Editing by Kirsten Donovan)

Anglo American Plc’s South African Headquarters As CEO Cynthia Carroll Quits

Anglo posts lower 2024 copper output, cuts diamond guidance

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china-820x461.jpeg" alt="" class="wp-image-583160" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/02/108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china.jpeg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Chinese and U.S. flags flutter near The Bund, before U.S. trade delegation meet their Chinese counterparts for talks in Shanghai, China July 30, 2019. Aly Song | Reuters</figcaption></figure>



BEIJING — China has toughened its tone following the Trump administration’s opening salvo of trade tariffs.



“In the face of one-sided acts of bullying, [China] will definitely take necessary measures to firmly protect its own rights and interests,” Chinese Ministry of Commerce Spokesperson He Yongqian told reporters Thursday, according to a CNBC translation.



She added that China would not provoke trade disputes and remained ready to resolve problems through discussions. Beijing’s official commentary previously emphasized the willingness to negotiate.



China’s Ministry of Foreign Affairs Spokesperson Lin Jian struck conveyed a similar mood on Wednesday.



“China firmly deplores and opposes the move of the U.S. to levy a 10 percent additional tariff on Chinese imports under the pretext of the fentanyl issue,” he said, according to an official English translation. “The measures China has taken are what’s needed for safeguarding our legitimate rights and interests.”



CNBC has reached out to the U.S. State Department for comment.



The official remarks came just days after the U.S. announced 10% tariffs on Chinese goods, to which the Chinese side on Tuesday retaliated with its own duties of up to 15% on U.S. liquefied natural gas and select products, starting Feb. 10.



The U.S. also halted a so-called de minimis exemption, making it more expensive for Chinese e-commerce merchants to ship products directly to U.S. consumers.



Ministry of Commerce spokesperson He on Thursday urged the U.S. to create a “fair and predictable” environment for cross-border e-commerce.

108086939-17369536122025-01-15t144123z_1142336854_rc2u5cau9h9e_rtrmadp_0_usa-china

China says will protect its own interests in face of U.S. ‘bullying’

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="418" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYEEWJTJKRPK3GJPCKWFP3EK7E.avif" alt="" class="wp-image-573641"/><figcaption class="wp-element-caption">A teller counts Kenya shilling notes inside the cashier&#8217;s booth at a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File photo</figcaption></figure>



NAIROBI, Feb 6 (Reuters) &#8211; Kenya&#8217;s shilling strengthened slightly on Thursday, and traders said they expected it to gain further ground in the days ahead, helped by dollar inflows from investors buying government bonds.



At 0705 GMT, commercial banks quoted the shilling at 128.80/129.80 per dollar, compared with Wednesday&#8217;s closing rate of 129.00/130.00.



(Reporting by George Obulutsa; Editing by Alexander Winning)

LYEEWJTJKRPK3GJPCKWFP3EK7E

Kenyan shilling firms slightly, traders see more gains ahead

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="439" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand-Dec.avif" alt="" class="wp-image-568249"/><figcaption class="wp-element-caption">South African Rand coins are seen in this illustration picture taken October 28, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, Feb 6 (Reuters)&nbsp;&#8211;&nbsp;The South African rand weakened early on Thursday as investors focussed on President Cyril Ramaphosa&#8217;s national address for clarity on the country&#8217;s economic and political policies.



At 0641 GMT, the rand traded at 18.5925 against the dollar, about 0.3% weaker than its previous close.



Ramaphosa will deliver around 1700 GMT the annual State of the Nation Address (SONA), the first under his coalition government, which will provide investors some clarity on economic reforms and the country&#8217;s approach to structural challenges.



Although SONA has traditionally not been a market-moving event, this address could be different, analysts said.



A highlight may be the economic reforms underway, which are key to removing the country from the Financial Action Task Force&#8217;s greylist and stabilising the fiscus.



U.S. President Donald Trump said on Sunday, without citing evidence, that &#8220;South Africa is confiscating land&#8221; and &#8220;certain classes of people&#8221; were being treated &#8220;very badly&#8221;. He said he would cut funding until the matter was investigated.



ETM Analytics said in a research note that Ramaphosa will want to use the opportunity of SONA to paint the country&#8217;s future efforts in a better light.



&#8220;This SONA will, therefore, be the main event of the day and capture the bulk of the market&#8217;s attention through the afternoon and evening as it receives more and more coverage,&#8221; the note added.



South Africa&#8217;s benchmark 2030 government bond was weaker in early deals, with the yield up 1.5 basis points at 9.06%.



(Reporting by Sfundo Parakozov; Editing by Tannur Anders and Sherry Jacob-Phillips)

rand Dec

South African rand weakens; traders focus on president’s address

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="494" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-820x494.jpg" alt="" class="wp-image-503084" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-820x494.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-300x181.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-149x90.jpg 149w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-768x463.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-1536x926.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/J5ZTGSBRZ5N6RNIBC3KXDSSQAE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A logo is seen on the roof of the ArcelorMittal steelworks headquarters in Ostrava, Czech Republic, April 1, 2016. REUTERS/David W Cerny/File Photo</figcaption></figure>



Feb 6 (Reuters) &#8211; ArcelorMittal South Africa said on Thursday it will delay the closure of its long-steel plant operations by a month, as the steelmaker engages in talks with the government to salvage the business.



The company had planned to start winding down the loss-making long-steel business by the end of last month, but has delayed it due &#8220;continuing discussions with the South African government&#8221; as well as higher-than-anticipated orders.



The outcome of the talks will be announced before the end of this month, the steelmaker said in a statement.



The company stated that a 380 million rand ($20.44 million) loan from the Industrial Development Corporation of South Africa, its second-largest shareholder after parent company ArcelorMittal, has facilitated the continued operations of its long-steel business.



ArcelorMittal South Africa also reported a headline loss of 5.1 billion rand for the year ended December 31, wider than the headline loss of 1.89 billion rand in 2023.



The company said the losses were mainly driven by the weak financial performance of its long steel business on the back of soft demand, high energy and logistics costs, as well as the influx of low-cost steel imports, particularly from China.



The closure of the long-steel operations, which produce fencing material, rail, rods and bars used in the construction, mining and manufacturing sectors, has been on the cards since November 2023. The shutdown could affect about 3,500 direct and indirect jobs.



($1 = 18.5867 rand)



(Reporting by Nelson Banya; Editing by Sherry Jacob-Phillips)

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Kenyan shilling firms versus dollar, LSEG data shows

South African Markets – Factors to watch on February 7

K-pop group NewJeans changes name to NJZ, announces March performance dates amid contract dispute

DeepSeek has rattled large AI players — but smaller chip firms see it as a force multiplier

South Africa ‘will not be bullied,’ Ramaphosa says after Trump attack

Why More Americans Are Being Pushed Into Poverty | CNBC Marathon

South Africa’s Exxaro Resources says CEO Tsengwa has resigned

Vedanta aims to raise $1 bln via debt to fund Zambian copper mines

Africa’s top health official presses U.S. to resume aid

Uganda holds key rate, says near-term inflation looks well-contained

Kenya central bank sees minimal effect on shilling from Trump aid freeze

Ugandan shilling flat ahead of central bank rate decision

Anglo posts lower 2024 copper output, cuts diamond guidance

China says will protect its own interests in face of U.S. ‘bullying’

Kenyan shilling firms slightly, traders see more gains ahead

South African rand weakens; traders focus on president’s address

ArcelorMittal South Africa delays long-steel plant closure amid government talks

News Tips

Advertise With Us

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