By the close of trade on Thursday, the South African rand weakened against the US dollar.

  • The week of Thanksgiving is typically a robust time at the box office, but this year the coronavirus pandemic has crippled the film industry, leaving little doubt that the November holiday will suffer the same fate. Even with new content arriving the theaters, the Thanksgiving box office is set to see its worst haul in decades.  On the data side everything was quiet due to a US Bank holiday.
  • On the data front, in South Africa, producer price index (PPI) rose more-than-expected on a monthly basis in October.
  • The yield on benchmark government bonds rose yesterday. The yield on 2026 bond rose to 6.97%. Further, the yield on 2023 bond advanced to 4.32%, while that for the longer-dated 2030 issue climbed to 8.87%.

In early trade on Friday, the US dollar is trading higher against the South African rand at R15.1966, while the euro is trading higher at R18.1182.  The British pound has gained against the South African rand to trade at R20.1222

By the close of trade on Thursday, the euro advanced against most of the major currencies.

  • U.K. and European Union negotiators are poised to resume face-to-face trade talks this weekend after key officials involved in the discussions were forced into quarantine. Michel Barnier, the EU’s chief negotiator, will on Friday update diplomats from the bloc’s 27 governments on the state of the negotiations, according to officials with knowledge of the discussions. He will also brief fishing ministers from coastal states as part of his round of regular updates, but the meeting is significant because fishing rights have been a longstanding roadblock to a wider trade deal.
  • The British government will set out which COVID-19 restrictions each local authority in England will face when a national lockdown ends next week allowing businesses to reopen in areas where infection rates are lower.
  • On the data front, German consumer morale further deteriorated heading into December, as a partial lockdown to curb a second coronavirus wave in Europe’s largest economy hit households’ income expectations as well as their willingness to buy.
  • The European Central Bank’s (ECB) latest monetary policy meeting minutes revealed that policymakers see the possibility of the pandemic inflicting longer-lasting effects on the economy. Separately, the ECB’s Chief Economist, Philip Lane, warned that accepting a longer phase of even lower inflation would hurt consumption and investment, raising the prospect for further stimulus.
  • Germany registered a record increase in new coronavirus cases, bringing the total to just under 1 million, hours after the government extended a partial shutdown designed to check the spread of the disease. There were 32,687 new infections in Europe’s biggest economy in the 24 hours through Thursday morning, lifting the total to 995,879, according to data from Johns Hopkins University. That exceeded the previous high of 31,480 set three weeks ago. The number of daily fatalities rose by 378, the most since mid-April, to 15,210, and has now exceeded 300 for three straight days for the first time since the beginning of the outbreak.

In early trade on Friday, the euro advanced against the US dollar to trade at $1.1932, while it has marginally weakened against the British pound to trade at GBP0.8922.