MINING heavyweight Anglo American climbed back up towards five-year highs after its South African iron ore subsidiary reported a “royal flush” set of results and the country’s ruling ANC made moves to usher in a new pro-business leader.
The rainbow nation’s ANC formally demanded that corruption-hit Jacob Zuma step aside for new party leader Cyril Ramaphosa, but the South African Rand slipped amid fears that the president will not go quietly.
Pro-business Ramaphosa is expected to strike a more cordial relationship with foreign miners and ditch Mosebenzi Zwane, the mining minister at loggerheads with the industry. Norman Mbazima, Anglo American’s deputy chairman in the country, warned last week that the impasse over the country’s mining charter had damaged the industry, arguing that the huge investment needed for mining required a stable regulatory environment.
Kumba, Anglo American’s iron ore subsidiary in the country, exceeded expectations in its full-year figures and its boss, Themba Mkhwanazi, hinted that the firm may use acquisitions to fuel future growth. As the FTSE 100’s small gains deteriorated late on, Anglo American slipped off its best levels to finish 28p higher at £16.70. South Africa-exposed peer Glencore climbed 9.1p to 375.8p.
Source : http://www.telegraph.co.uk/business/2018/02/13/market-report/