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Sunday, 11 September 2022

Record rate hike in the eurozone

ECB makes largest-ever rate hike: The European Central Bank raised interest rates by a historic 75 basis points — and its head hinted there could be more jumbo rate hikes to come. The bank raised its three key rates in a bid to “dampen demand” and “guard against the risk of a persistent upward shift in inflation expectations,” according to a statement. “If the data on our meeting-by-meeting exercise review suggests that we should take a high hike of our interest rates, we will do so,” Christine Lagarde told reporters in Frankfurt, according to Bloomberg. Lagarde suggested there could be three or four more rate hikes to tackle inflation, which the bank’s monetary policy committee said was “far too high” as it stands. Eurozone inflation hit a record 9.1% in August.

Saudi logistics startup Trukker has closed a USD 100 mn series C round led by Bahrain-based asset manager Investcorp, with participation from investors including Abu Dhabi sovereign wealth fund Mubadala, Bloomberg and Reuters reported last week. The firm will use the money to expand into new countries and deepen its footprint in existing markets.

An IPO is in the works: This will be the final funding round before Trukker goes ahead with a planned listing, founder and CEO Gaurav Biswas told Bloomberg. The firm is looking at going public on several exchanges over the next two or three years, including the Saudi Tadawul, he said.

ALSO IN PLANET FINANCE- Another crypto player is heading to Dubai: London-based crypto firm Blockchain.com is set to open an office in Dubai after it secured provisional approval to operate in the emirate. (Reuters)

Up EGX30 10,265 +0.3% (YTD: -14.1%)
Up USD (CBE) Buy 19.26 Sell 19.36
Up USD at CIB Buy 19.28 Sell 19.34
None Interest rates CBE 11.25% deposit 12.25% lending
Down Tadawul 11,834 -0.3% (YTD: +4.9%)
Up ADX 9,796 +0.1% (YTD: +15.4%)
None DFM 3,361 0.0% (YTD: +5.2%)
Up S&P 500 4,067 +1.5% (YTD: -14.7%)
Up FTSE 100 7,351 +1.2% (YTD: -0.5%)
Up Euro Stoxx 50 3,570 +1.6% (YTD: -17.0%)
Up Brent crude USD 92.84 +4.1%
Up Natural gas (Nymex) USD 8.00 +1.0%
Up Gold USD 1,728.90 +0.5%
Up BTC USD 21,589 +1.6% (YTD: -53.5%)

THE CLOSING BELL-

The EGX30 rose 0.3% at Thursday’s close on turnover of EGP 1.24 bn (26.9% above the 90-day average). Local investors were net buyers. The index is down 14.1% YTD.

In the green: Juhayna (+4.1%), Credit Agricole Egypt (+4.0%) and Madinet Nasr Holding (+3.7%).

In the red: AMOC (-1.7%), MOPCO (-1.5%) and Eastern Company (-1.5%).

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

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