The Markets

LAGOS (Capital Markets in Africa) – Bitcoin’s energy use has long been a hot-button issue. Now some developers say the solution could lie in a more energy-efficient form of computer processing that, perhaps appropriately, uses lasers. When we consider Bitcoin’s energy use, really, the discussion should focus on emissions. Industry participants have worked toward improving transparency in that category the past couple of years. If we look even further back, Hal Finney – who received…

LONDON (Capital Markets in Africa) – A $18.9 million coupon payment on a bond issued by Evraz PLChas been blocked due to the Russian steelmaker’s ties to sanctioned billionaire Roman Abramovich. Evraz moved the cash a week ago, but the company’s correspondent bank, Societe Generale New York, halted its transfer to paying agent BNY Mellon for compliance reasons, the steel company said in a regulatory filing on Monday.  The block “has its roots in the…

LAGOS (Capital Markets in Africa) – Bitcoin, in what’s become its motto of late, is starting the week on a tepid note. But crypto fans are looking at a technical signal that’s potentially pointing to a new breakout.The supply of Bitcoin in private wallets across exchanges has reached a three-year low, according to data compiled by Glassnode. Though it’s not necessarily the primary price catalyst right now, there’s logic to the idea that might mean…

NEW YORK (Capital Markets in Africa)- The war in Ukraine has dimmed prospects for aggressive Federal Reserve rate hikes and that should bolster American equities even as markets endure a bout of volatility in the coming weeks.  That’s the view of JPMorgan Chase & Co. strategists led by Marko Kolanovic, who have repeatedly urged investors to buy the dip during the global equity rout this year. In a fresh note released Monday, the top-ranked strategist says the direct impact on…

LAGOS (Capital Markets in Africa) – Billions of dollars in cash is at risk of being trapped, stock funds have plunged, and capital controls are choking off money flows. Russia has all the hallmarks of an uninvestable market for global investors. Russia-focused equity funds have tumbled 23% on average in the past week, according to data compiled by Bloomberg. Bonds have plummeted as default risks intensified, and trading the ruble has become a Herculean task with brokers stepping back…

LAGOS (Capital Markets in Africa) – There are few things scarier for investors than a bear market — unless you’re involved in crypto, in which case a winter is worse.  The chilling term refers to a sharp slump, followed by a drop-off in trading and months of market doldrums — a phenomenon that memorably befell the crypto market in 2018. Bitcoin’s price plunged by more than 80% to as low as $3,100 from the end…