LOCKDOWN LEVEL Ver 3.2 [DAY 22]

TOTAL DAYS 129 – 08 HOURS 15 MINUTES

 By the close of trade on Friday [Month End], the South African rand weakened against the US dollar.

  • Rising COVID-19 infections worldwide threatened economic recovery and put riskier assets under pressure.  On a positive note SpaceX successfully partnered with NASA and the manned space Capsule Dragon returned from the International Space Station without incident.  Personally I think the astronauts were safer in space!
  • Familiar fault lines continue to separate the White House and congressional Democrats on the next coronavirus stimulus package a day after an extended meeting between House Speaker Nancy Pelosi and administration officials including Treasury Secretary Steve Mnuchin and chief of staff Mark Meadows. Pelosi and Mnuchin both took to the airways on Sunday morning to lay out their competing visions for the rescue bill. The key sticking point separating Democrats and Republicans continues to be the federal boost to unemployment assistance, which was set at $600 per week in March but recently lapsed.
  • On the data front, South African trade surplus widened to a record high in June, as eased lockdown restrictions allowed more exports, while demand for imports weakened.
  • In the US, the Michigan consumer sentiment index dipped more-than-expected in July. US consumer spending came in better-than-expected, while personal income declined in June. The core personal consumption expenditure index rose in line with investor expectations on a monthly basis in June.
  • Latest PMI data signalled a solid improvement in the health of China’s manufacturing sector in July, as market conditions continued to recover from the coronavirus disease 2019 (COVID-19) outbreak. Companies registered the quickest expansions of output and new orders since January 2011 amid reports of firmer customer demand. New business from overseas meanwhile fell at the slowest rate for six months. Increased production led to the strongest rise in purchasing activity since January 2013.
  • The yield on benchmark government bonds declined on Friday. The yield on 2026 bond fell to 7.51%. Further, the yield on 2023 bond declined to 4.66% while that for the longer-dated 2030 issue dropped to 9.23%.

In early trade on Monday, the US dollar is trading marginally lower against the South African rand at R17.0641, while the euro is trading 0.1% lower at R20.0898.  The British pound has marginally declined against the South African rand to trade at R22.3317.

By the close of trade on Friday, the euro mostly declined against most of the major currencies.

  • Japan’s economy shrank at the same pace as previously estimated, according to revised data that continued to show the country was in a recession before the pandemic took its heaviest toll. Gross domestic product shrank an annualized 2.2% in the first quarter compared with the final three months of 2019, the Cabinet Office reported Monday. Economists had forecast a 2.8% contraction following a rare finance ministry move to update its capital spending data last week.
  • The eurozone’s gross domestic product (GDP) shrank at its fastest rate on record on a quarterly basis in 2Q20. Meanwhile, the region’s consumer price index (CPI) rose on an annual basis in July.
  • German retail sales came in better-than-expected on an annual basis in June.

In early trade on Monday, the euro has marginally slipped against the US dollar to trade at $1.1773, while it has weakened 0.1% against the British pound to trade at GBP0.8996.

STATISTICS:

USD to ZAR Stats

Stats Data Last 30 days Last 90 days
High 17.1633 18.8203
Low 16.4054 16.4054
Average 16.7594 17.2822
Volatility 0.78% 0.91%

EUR to ZAR Stats

Stats Data Last 30 days Last 90 days
High 20.1065 20.3230
Low 18.9341 18.7813
Average 19.2759 19.4015
Volatility 0.64% 0.8%

AUD to ZAR Stats

Stats Data Last 30 days Last 90 days
High 12.1935 12.1935
Low 11.6222 11.4871
Average 11.8055 11.8020
Volatility 0.52% 0.68%

MUR to ZAR Stats

Stats Data Last 30 days Last 90 days
High 0.43196 0.47269
Low 0.40654 0.40654
Average 0.41923 0.43219
Volatility 1.08% 1.14%

CNY to ZAR Stats

Stats Data Last 30 days Last 90 days
High 2.44711 2.65025
Low 2.34419 2.33970
Average 2.39294 2.44635
Volatility 0.77% 0.89%

COVID NEWS:

https://mediahack.co.za/datastories/coronavirus/dashboard/

Provincial

https://mediahack.co.za/datastories/coronavirus/provinces/

For those interested, this is a podcast on their project

https://iono.fm/e/839689?quality=high

https://www.covid19sa.org/