On Thursday by the close of trade, the South African rand had strengthened against the US dollar.
- Meanwhile, in South Africa, producer price index (PPI) fell to the lowest level in four and a half years on a monthly basis in October, pulled down by decline in petroleum, chemical, rubber prices.
- The yield on benchmark government bonds rose yesterday. The yield on 2020 bond advanced to 6.90% while that for the longer-dated 2026 issue rose to 8.46%.
In early trade on Friday, the US dollar is trading 0.1% higher against the South African rand at R14.7223, while the euro is trading 0.1% higher at R16.2123. The British pound has gained 0.1% against the South African rand to trade at R19.0167.
On Thursday by the close of trade, the euro advanced against most of the major currencies.
- The eurozone economic sentiment indicator advanced more than expected in November, on account of optimism in the key services sector and due to a better mood in industry and among consumers.
- In Germany, consumer price index (CPI) fell on a monthly basis in November.
- The chances of a Conservative Party majority [win] after next month’s UK election hit their highest of the campaign on Thursday and lifted sterling in tandem after a closely watched polling model indicated the party could win its biggest majority since 1987.Such a majority, estimated at 68 seats under the model developed by pollsters YouGov, would give Prime Minister Boris Johnson a mandate to take Britain out of the European Union on Jan. 31 with a divorce deal already negotiated with Brussels.
On Friday morning in early trade, the euro has marginally advanced against the US dollar to trade at $1.1012, while it has marginally weakened against the British pound to trade at GBP0.8528.
Have a great weekend and enjoy the last trading day of November. Next stop Christmas!