The Markets

LONDON (Capital Markets in Africa) – Whether the U.K. leaves the European Union with no deal or clinches a last-minute agreement in the coming weeks, Brexit has already taken a toll on London’s finance industry. Three years and three prime ministers since the vote, fraught negotiations, and political turmoil have sapped confidence in the industry, putting financial firms on the verge of moving thousands of jobs — and possibly 1 trillion pounds ($1.24 trillion) of…

LAGOS (Capital Markets in Africa) – The first Bitcoin futures contracts that settle in the digital currency debuted Monday in thin trading, starting a new chapter in the coin’s tumultuous 10-year history. As of 11 a.m. in New York, 38 of the futures contracts offered on the Intercontinental Exchange Inc.’s Bakkt platform had changed hands. The price of Bitcoin slumped 2.4% to $9,892. The initial federally regulated market to buy and sell Bitcoin could entice conservative investors who have…

JOHANNESBURG (Capital Markets in Africa)  – South Africa is back in the Eurobond market for the first time since May last year, looking to offer securities with returns that compensate investors for mounting fiscal woes. The government is marketing 10- and 30-year dollar securities with yields of between 5% to 5.125% and about 5.875% respectively, according to a person familiar with the transaction who asked not be identified because they are not authorized to speak about it….

HARARE (Capital Markets in Africa) – The gap between Zimbabwe’s black market and official currency rates vanished after the central bank tightened regulations on trade in foreign exchange by bureau de change operators. On Monday, black market rates for the Zimbabwe dollar ranged from 14.7 to 15 to the U.S. dollar, according to Marketwatch.co.zw., a site run by financial analysts. The official rate was at a record low of 14.91, according to the Reserve Bank of…

LAGOS (Capital Markets in Africa) – Emerging-market sovereign borrowers are returning to international debt markets as the stimulus from central banks cuts borrowing costs and investors chase yields again. South Africa’s decision to sell Eurobonds for the first time since May last year follow Kazakhstan, Pakistan and Abu Dhabi announcing new issues. That has revived action in a market that saw a seven-week lull amid a resurgence in U.S. Treasury yields and uncertainty over the…

NEW YORK (Capital Markets in Africa) – U.S. money markets are taking a breather following last week’s volatility, but the Federal Reserve remains on alert and is examining what implications the turmoil may have for the central bank and the financial system. Rates on repurchase agreements held steady on Monday after stabilizing late last week in the wake of an unprecedented market spike. A daily Federal Reserve operation — aimed at keeping funding markets on an even…

LONDON (Capital Markets in Africa) – Wall Street could soon get one of its most consequential wins of the Trump era as regulators are considering ripping up a rule that’s forced banks to set aside billions of dollars for swaps trades, according to people familiar with the matter. At issue is a requirement approved during the Obama administration that’s made lenders post tens of billions in the margin when engaging in derivatives transactions with their…