Vaccine rollout day 145 

New cases 15,036

On Sunday night at 20h00, President Cyril Ramaphosa gave his National television address and has moved the country to alert Level 4 lockdown, with stricter restrictions from Monday. This, after the Ministerial Advisory Committee (MAC) advised that the limited restrictions, previously imposed, were not that effective. Because of the high number of Covid-19 infections in Gauteng, travel in and out of the province for leisure purposes is prohibited.  This does not include work, business or commercial travel, transit through airports or for the transport of goods. Alcohol sales both On site and Off consumption is banned.

The Rand opens at 14.1625 this week, and we expect to see a little more gain against the Dollar. Supports are seen at 14.1225, 14.0340, 13.9275 and 13.84, and on the top, resistance is at 14.23, 14.3175 and 14.4050.

The crosses are slightly lower with:

EURZAR          16.8875,
GBPZAR          19.6750
AUDZAR          10.2725

  • The greenback had a tough week. It fell against most currencies. Our GDP-weighted currency index snapped a three-week drop, which ended an eight-week advance. The combination of a seemingly more hawkish Federal Reserve and position squaring around the expiration of futures and options had pushed the greenback dramatically higher and stretched the technical conditions. It had traded three standard deviations away from its 20-day moving average, for example, against several major currencies.
  • The U.S. military launched airstrikes against Iranian-backed militias in Syria in retaliation for drone attacks, the Pentagon announced Sunday evening. The strikes targeted sites that been used to launch drone attacks on U.S. personnel and facilities in Iraq, Pentagon press secretary John Kirby said in a statement. “Specifically, the U.S. strikes targeted operational and weapons storage facilities at two locations in Syria and one location in Iraq, both of which lie close to the border between those countries,” Kirby said.
  • Landslides and severe flooding were reported in some areas of Hong Kong on Monday morning while public services including schools and Covid-19 vaccinations were suspended, as weather authorities raised the first black rainstorm warning of the year. Morning trading on the city’s stock exchange was also halted, while a flight carrying Hong Kong leader Carrie Lam Cheng Yuet-ngor and her delegation to Beijing to attend the Communist Party’s 100th anniversary celebrations on Thursday was delayed. The Air China flight finally left at 10.52am, about an hour after its scheduled departure.
  • Stocks in Asia-Pacific were mixed in Monday morning trade. Meanwhile, official data showed that China’s industrial profits for May slowed. The Nikkei 225 in Japan slipped 0.15% in early trade while the Topix index gained 0.16%. South Korea’s Kospi also dipped 0.12%. Australia stocks were little changed, as the S&P/ASX 200 traded around the flatline. MSCI’s broadest index of Asia-Pacific shares outside Japan traded fractionally lower. Data released Sunday by China’s National Bureau of Statistics showed profits at China’s industrial firms rose 36.4% in May as compared with a year earlier.
  • New Zealand employment continued to pick up in May, with filled jobs up a further 0.4% for the month. The number of jobs is now 0.6% above its pre-Covid peak. Since the Covid shock, the strongest growth has been in the construction sector, with gains also seen in areas such as healthcare and IT. Sectors that have been more affected by the ongoing closure of the border, such as hospitality, transport and recreational services, are still down on pre-Covid levels. The overall demand for labour is strong at the moment, as demonstrated by the sharp rise in job advertisements in recent months.
  • The European Commission plans to include maritime transport in the world’s biggest carbon market and create an adjacent emissions-trading program for heating and road transport. The EU executive arm is currently designing the biggest reform of the Emissions Trading System to date in order to align it with a stricter climate targets for 2030. The commission wants to introduce a phase-in period for shipping companies in the trading system between 2023 and 2025, requiring full compliance with pollution caps as of 2026, according to a draft law.