LOCKDOWN LEVEL 1 Ver4 [ DAY 8] Wave 2
TOTAL DAYS 273 – 07 HOURS 30 MINUTES
There is a new strain of the coronavirus. Flights are being shut down to and from the UK and the rest of the world. The US is about to sign a $900 billion US emergency fiscal aid package. Brexit is going to be agreed on soon…..Brexit is not going to be agreed on by December 31st. President Trump is still vowing to win the US election. There is light volume is the markets due to end of year. There is more stimulus to come. China! Whatever the reason, volatility has picked up today and it may continue to be here through year end!
By the close of trade on Monday, the South African rand weakened against the US dollar.
- The yield on benchmark government bonds rose yesterday. The yield on 2026 bond rose to 6.84%. Further, the yield on 2023 bond advanced to 4.70%, while that for the longer-dated 2030 issue rose to 8.82%.
In early trade on Tuesday, the US dollar is trading higher against the South African rand at R14.6522, while the euro is trading higher at R17.9248. The British pound has declined against the South African rand to trade at R19.6422.
By the close of trade on Monday, the euro advanced against most of the major currencies.
- Latest reports are that British Prime Minister Boris Johnson is making a last big push to reach a deal around Fish.
- British retail sales recovered in December as restrictions on shops were eased and consumers bought food and other essentials ahead of Christmas, but the outlook for January was the worst since the summer, a survey showed on Monday. The Confederation of British said its monthly retail sales balance rose to -3 in December from -25 in November, its highest level in three months. But the outlook for January was much more negative with a reading of -33.
- Preliminary reading of eurozone consumer morale improved in December.
- The Netherlands, Italy and Belgium are the latest countries to ban flights to and from the UK to prevent the new Covid-19 variant from entering the countries, with reports stating that other European countries were considering similar measures.
In early trade on Tuesday, the euro has slipped against the US dollar to trade at $1.2233, while it has gained against the British pound to trade at GBP0.9120.