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Good morning Voornaam,

Happy Friday! Today, we celebrate the fact that we appear to also have a decent cricket team. I promised myself that I wouldn't become emotionally invested in the cricket as well, yet here we are.

When there's so much sport on TV, you need efficient ways to stay up to date with the market. Ghost Wrap does a great job of that. Thanks to Mazars, it takes you just a few minutes to listen to the latest on Famous Brands vs. Spur, Sibanye-Stillwater, De Beers, Mondi, Life Healthcare, Datatec and Fortress. That's a mouthful, but this podcast isnt. Enjoy it here>>>

Don't forget that the bizval team (i.e. including me) will be hosting a webinar on how to buy a business. This is a really interesting way to diversify your wealth, especially because the right private companies can outperform listed equities in this environment. To attend the webinar at 12pm on Wednesday, register at this link>>>

Have a great weekend - and go Bokke!!

NEW: Ghost Stories podcast

In the latest Ghost Stories podcast focusing on structured products with the Investec team, Japie Lubbe joined me to unpack the Optimal Investment Growth Basket. It offers a maximum annualised return in USD of 9.8% per annum over five years, with 100% capital protection at maturity in USD. Listen to the show to learn about how this product works and what the benefits and risks are.

Listen to Ghost Stories with Japie Lubbe (35 minutes long)

NEW: Magic Markets podcast

In this brand new episode of Magic Markets, we dig into the food producer sector. This has been a tough place to play in these inflationary conditions, but why?

Thanks to B2IT, you can find out. We looked at McCormick (20% market share in spices in the US) and a selection of South African food producers.

Of course, PepsiCo and my favourite chips (blue Dorito's) get a mention as well!

Listen to Magic Markets Episode 146 here (22 minutes long)

New: Ghost Wrap podcast (Famous Brands vs. Spur \| Sibanye-Stillwater \| De Beers \| Mondi \| Life Healthcare \| Datatec \| Fortress)

The Ghost Wrap podcast looks at trends in local restaurants and diamonds, as well as news in the mining, paper, IT and property sectors. Ghost Wrap is brought to you by Mazars.

Listen to the Ghost Wrap podcast here (6 minutes long)

NEW: Ghost Global

Have you ever asked yourself why SHEIN is so cheap? Dominique Olivier loves clothes. She loves saving money. She doesn’t love arguably damaging business practices, with many questions being asked around the world about SHEIN.

Read the Ghost Global article on SHEIN and its impact on the industry

New: DealMakers

Friday means DealMakers! As always, there are summaries on local M&A, local corporate finance and African deals. There's also a piece on OFAC risks in M&A as well as the potential of private equity in southern African markets.

Find all the DealMakers articles at this link

Satrix INDI is an ETF with a Proudly South African flavour. Learn more here.

The lessons dished out by the markets this year have been all about how companies cope in inflationary conditions. The winners have one thing in common: pricing power.

Learn about pricing power in this piece I wrote for EasyEquities

TreasuryONE Market Update

The strength in the rand (on a relative basis at least) was short lived, after hotter-than-expected inflation data in the US ruined the party for emerging market currencies. Headline inflation rose 3.7%. Chinese inflation was 0.2% vs. 0.3% expected, with the yuan on the back foot against the dollar. The Chinese economy continues to struggle in the post-Covid era.

After the rand had strengthened from R19.60 to R18.80 in literally a week, it moved back to the R19.00 handle. Global equities also suffered from the risk-off sentiment, with interest rate expectations hitting their valuations.

For further direction, the market will look to the Michigan Consumer Sentiment data release later this afternoon.

Gold is holding firm and Brent Crude is trading below $87 a barrel.

NEW: Ghost Bites

Get the latest on CMH, Karooooo and Kore Potash. It's all available with a single click in Ghost Bites.

Read Ghost Bites at this link to stay updated on local company news

The car retail market is cracking

As interest rates shot through the roof in the past couple of years, it almost seemed as though the car market was bulletproof. Despite people literally cutting back on their groceries, automotive retail groups kept releasing absolute blowout results with huge profits and dividends. It was quite obviously a bubble and one that needed to pop.

We aren't quite at popping point just yet, in my view. I think it's going to get worse. But if CMH's latest numbers are anything to go by, the pin is moving ever closer to that bubble.

It's also good to see Karooooo moving away from the silliness of Carzuka. I couldn't for the life of me understand what they were doing there. Why would you set up a global structure and tell that investment story, only to spend your time building a South African car retail group with no obvious moat?

Anyway, that journey is over and Karooooo is focusing on the core business, which is precisely what they should be doing.

For details and my opinions on these updates, plus the latest quarterly update from Kore Potash and the usual assortment of smaller updates in Little Bites, read Ghost Bites at this link>>>

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Our content is intended to be used and must be used for informational purposes only. You must do your own analysis before executing any investments or strategic decisions, based on your own circumstances. We do not provide personalised recommendations or views as to whether an investment approach or corporate strategy is suited to the needs of a specific individual or entity. You should take independent financial advice from a suitably qualified individual who gives due regard to your personal circumstances.

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