| A flood of regulatory announcements hit the JSE's news service yesterday as companies across the board warned shareholders about how the Covid-19 pandemic and the imminent 21-day lockdown would affect their operations. There's also a degree of uncertainty over which services are critical and will be allowed to continue for the duration. Gold production probably isn't but coal almost certainly is - particularly if it's destined for an Eskom power station. You may not think that Mpact provides a critical service but it manufactures packaging for food, pharmaceuticals and other essential products that you'll continue to need. Hotels and casinos are closing down but some hotel rooms may be needed by the government in the near future for quarantine facilities or staff housing. For an investment holding company like Brait the impact is varied. Its Virgin Active gym chain is closing most of its clubs across the globe, but food producer Premier and Iceland Foods in the UK will be less affected. While many companies have withdrawn earnings guidance for the year ahead, they cannot provide revised numbers until they have a clearer idea of how and for how long their operations will be impacted. Despite the negativity, the JSE closed higher, led by resources stocks, after the US Federal Reserve turned on the taps with unlimited dollar funding. Read on to find out how corporate South Africa is preparing for the lockdown, as well as Sappi's decision to declare force majeure on the Vulindlela expansion and upgrade project at its Saiccor Mill and annual results from drilling specialist Master Drilling. In "Fixed income leads the way for equities", top trader Andrew Kinsey explains why from late February/early March yields on Treasury's in the US were collapsing in tandem with equity prices. Why should this be? If you have been shell shocked by the dramatic fall in the South African equity market, alongside what we have seen internationally, you'd do well to read this latest note from Ingham Analytics. The JSE All Share closed more than 7% higher yesterday. Are we at a bottom? Andrew has some words of advice. Find his report here. Stay safe. Stephen Gunnion Managing Editor, InceConnect
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