Feb. 24 (Bloomberg) -- South African Finance Minister Pravin Gordhan holds his post-Budget breakfast briefing in Cape Town. Gordhan, 61, yesterday unexpectedly postponed plans to narrow the budget deficit to ramp up spending to create jobs.
The cost of goods leaving South African factories rose at a slower pace in January than the previous month, according to the median estimate of 17 economists surveyed by Bloomberg. Producer prices increased an annual 5.4 percent last month compared with 5.8 percent in December, according to the estimates.
WHAT TO WATCH: * National Police Commissioner Bheki Cele briefs reporters on the Public Protector’s report on a 500 million rand ($70 million) lease for the police headquarters. A joint investigation by the Public Protector and the police’s Special Investigations Unit found that Cele’s conduct was “improper, unlawful and amounted to maladministration,” when he authorized the lease. * South Africa’s Reserve Bank to release invitation for weekly government Treasury Bill auction that will be held tomorrow. MARKETS: * The rand was unchanged against the dollar at 7.1115 as of 8:12 a.m. in Johannesburg. * The FTSE/JSE Africa All-Share Index slid 1.6 percent to close at 31,932.07 yesterday. * The yield on the benchmark government R157 bond increased 4 basis points to 7.81 percent late yesterday. * Gold for immediate delivery fell less than 0.1 percent to $1,411.21 an ounce by 7:39 a.m. Johannesburg time. Spot platinum advanced 0.6 percent to $1,793.95 an ounce. * The Dow Jones Industrial Average declined 0.9 percent. * The Stoxx Europe 600 Index dropped 1.1 percent. EQUITY MOVERS: * Exxaro Resources Ltd. (EXX SJ): The South African coal miner said net income for the 12 months to Dec. 31 climbed to 5.21 billion rand from 1.02 billion rand a year earlier, when the company took a 1.44 billion rand impairment charge on its Sands business in the KwaZulu-Natal province. * Fortress Income Fund Ltd. (FFA SJ): The property portfolio investor said first-half income through December dropped to 23.6 million rand, from 149 million rand a year earlier. * IPSA Plc (IPS SJ): The London-based builder of power stations in Southern Africa signed a new gas supply contract with Spring Lights Gas Ltd. for its Newcastle Cogeneration subsidiary. * Massmart Holdings Ltd. (MSM SJ): The retailer which is selling control to Wal-Mart Stores Inc. said fiscal first-half earnings excluding one-time items and goodwill amortization rose 5.6 percent to 3.66 rand. * Liberty Holdings Ltd. (LBH SJ): The insurer owned by Standard Bank Group Ltd. said normalized full-year earnings per share excluding one-time items rose to 907.6 cents from 47.2 cents a year earlier. * Pinnacle Point Group Ltd. (PNG SJ): The property and golf- resorts developer said hearings on a liquidation application brought to the Cape High Court against the company’s subsidiaries by Investec Bank Ltd. have been postponed to June by mutual agreement. * Sasol Ltd. (SOL SJ): The world’s largest maker of motor fuel from coal appears before a Competition Tribunal for a hearing related to the settlement of a 112 million rand fine for fixing polypropylene prices in South Africa.
To contact the reporter on this story: Vernon Wessels in Johannesburg at firstname.lastname@example.org
To contact the editor responsible for this story: Vernon Wessels at email@example.com