Market Commentary | The week that was
Da Vinci Xi surgical in South Africa: Robotic-assisted surgery using the da Vinci Xi surgical system was implemented at Netcare Pretoria East Hospital in South Africa. It is the first installation of its kind in the private sector in the country and the fourth within the Netcare Group. The Da Vinci Xi system provides greater control, precision, and vision during surgeries, allowing surgeons to operate precisely and preserve vital functions. Advanced technology is acclimated for a scope of surgical procedures, including those related to prostate and colorectal cancers, inguinal hernia, and various colorectal, pelvic floor, and renal conditions. The robotic system offers advantages such as shorter hospital stays, less post-operative pain, lower complication rates, and improved access to surgical sites. The hospital plans to expand the use of robotic-assisted procedures in the future, aiming to benefit more patients with this sophisticated technology. Increased use of technology in hospitals enhances the quality and efficiency of healthcare delivery, improve patient outcomes, and contributes to advancements in medicine.
Cholera outbreak: There is an outbreak of cholera in Tshwane. The municipality that includes Pretoria, the capital of South Africa, has seen twelve fatalities and 19 cases confirmed by the provincial health department, with 37 people hospitalized in Hammanskraal, the epicentre of the outbreak. The diarrheal disease is caused by a virus spread in unsanitary conditions. Cholera has already claimed the lives of hundreds of people in Malawi and Mozambique this year. In response to the outbreak, the City of Tshwane has advised the community of Hammanskraal to avoid drinking tap water and supplied water tankers to the hospital and surrounding areas. Additionally, six cases of cholera have been confirmed in the Free State province, located on the southern border of Gauteng. The Gauteng Department of Health and the National Department of Health are actively involved in addressing the situation and implementing measures to prevent the further spread of the disease.
Luxe Liquidation: Luxe, a jewelry company, was suspended from trading on the JSE in August 2022 due to accounting errors and failure to submit financial records on time. In December 2022 and March 2023, Luxe placed its subsidiaries NWJ and Arthur Kaplan under liquidation, respectively, and neglected to inform the market about these actions, violating disclosure requirements. Furthermore, Luxe is associated with the following failed companies, Aurora Mine and Velvet Sky airline. The lack of transparency regarding Luxes’ liquidation and its association with unsuccessful companies raises questions about the company's governance and potential impact on investors. These actions have raised concerns about management practices and financial stability, impacting the reputation and financial standing of the company, and its subsidiaries.
On Monday, the JSE FTSE All Share index experienced a slight decline, falling below the 78,000 mark, as traders anxiously anticipated updates on the US negotiations focused on preventing a federal default. Simultaneously, Jerome Powell, the Chair of the US Federal Reserve, made cautiously dovish statements on Friday. He hinted that strains within the banking industry could potentially lead the central bank to reduce its frequency of interest rate increases.
The rand is still experiencing a depreciation in its trading value against the dollar 19.33/$, 20.90/€, and R24.20/£. Brent crude is trading at $75.73 a barrel.
Looking at the week ahead: The South African Reserve Bank (SARB) will hold its Monetary Policy Committee (MPC) meeting, with an announcement on interest rates expected on Thursday (25 May)