Ghost Bites:Alphamin beats its production guidanceAscendis is one step closer to closing the deal with AustellEquites is proof that the grass isn't always greener on the other sideMac Brothers continues to hit the Grand Parade income statementMassmart couldn't find a buyer for Game stores in East and West AfricaFor these stories and a few more (like the latest rough diamond sales at De Beers), read Ghost Bites today>>> The pain tradeIf you Google "pain trade" you'll find a term used by traders to describe an unexpected turn in the markets that hurts a widely-followed strategy. In other words, it causes pain to a lot of traders. I'll borrow the term to discuss what happens when corporates get it wrong. I am always amazed at how long it takes large companies to give up on a particular strategy, with consequences that last for years. There are many "pain trades" affecting corporates on the JSE. In this morning's Ghost Bites, there are two such examples. The first is Mac Brothers, the soggy le ftovers of the Grand Parade food strategy. The catering business is now in liquidation and Grand Parade has to take another knock to the income statement because of a guarantee that was given on a sale and leaseback transaction. The second is Massmart's ongoing troubles with Game, with the stores in East and West Africa now being sold because no buyer could be found. Of course, the bigger question is around what happens to Game in South Africa? Looking abroadThere's a great mix of stories in Ghost Global this week: Bed, Bath & Beyond keeps capturing our imagination with awful numbersInflationary pressures are visible at Costco, yet the famous retailer keeps delivering Nike's business has a tick on the shoes and a cross in the financialsTesla's AI Day gives Musk enthusiasts something to get excited aboutJoin Ghost Grads Karel Zowitsky and Kreeti Panday in unpacking these stories from across the pond. Read Ghost Global here>>> Volatility is still the themeSentiment turned sharply weaker as Wall Street opened yesterday, with US bond yields rising and currencies losing ground against the dollar. The rand traded weaker at R17.88 to the US dollar. This also hit commodities, w ith gold and the PGMs weaker. To finish off a painful day from the perspective of most South Africans, Brent Crude traded higher based on OPEC+ cutting output in November. In exciting news, the team at TreasuryONE is hosting another webinar for the Ghosties! These events are a real treat, with a great presentation on macroeconomic drivers in the market and an opportunity to ask questions at the end. The next event is at 1pm on Wednesday 12th October and you can sign up for free at this link>>>
Finally, with a new Magic Markets episode due to be released tomorrow , make sure you've listened to Episode 95! It includes some great tips on navigating a bear market. You'll find it here>>> Have a lovely day! | 