DAY 5 LOCKDOWN

Month end, and the rand continues to stare down the barrel of a gun.  Today marks the run in to winter and some of the best months along the east coast.  Lets keep believing we will get to enjoy them sooner than later.

The past 24 hours saw the rand hit an all-time low as it broke through 18.06 in early trade.   Oil also dipped down to trade at 15 dollars per barrel reaching an 18 year low!

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

  • China’s manufacturing engine bounced back strongly in March, recovering from a miserable January and February, when the country was effectively shut down due to coronavirus.  A survey of sentiment among factory owners in the world’s second largest economy – was 52 in March, according to data released by the National Bureau of Statistics on Tuesday. This was up from an all-time low of 35.7 over the first two months of the year.  A reading of 50 shows growth in the manufacturing economy, while the further below 50, the deeper the contraction.
  • If the 2008 financial crisis is any guide, world markets – which have barely had time to recover from the dollar’s 9% surge in mid-March – may be set for another damaging bout of strength in the greenback. In the 10 days from March 9, the dollar leapt against almost every other currency as companies and banks bought it to pay their creditors, trade partners and suppliers.
  • Millions of Americans already have lost their jobs due to the coronavirus crisis and the worst of the damage is yet to come, according to a Federal Reserve estimate. Economists at the Fed’s St. Louis district project total employment reductions of 47 million, which would translate to a 32.1% unemployment rate, according to a recent analysis of how bad things could get.
  • Pending home sales rose for the second straight month on a monthly basis in February.
  • On the contrary, the Dallas Fed’s manufacturing index in March fell to an all-time low, as factory operators stated that the coronavirus had increased uncertainty, hurt sales and disrupted supply chains.
  • The yield on benchmark government bonds fell yesterday. The yield on 2021 bond declined to 4.99% while that for the longer-dated 2030 issue fell to 11.60%.

In early trade on Tuesday, the US dollar is trading 0.1% lower against the South African rand at R17.9120, while the euro is trading 0.3% lower at R19.7516.  The British pound has declined 0.8% against the South African rand to trade at R22.1032.

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

  • Eurozone sentiment suffered its steepest ever monthly decline in March as the coronavirus led to declining confidence among consumers and all sectors of the economy.
  • German consumer price index (CPI) slowed on an annual basis in March to well below the European Central Bank’s target.

In Early trade on Tuesday, the euro has slipped 0.2% against the US dollar to trade at $1.1028, while it has gained 0.4% against the British pound to trade at GBP0.8938.

TECHNICAL:

USD to ZAR Stats

Stats Data Last 30 days Last 90 days
High 17.9357 17.9357
Low 15.2687 14.0096
Average 16.6658 15.3673
Volatility 1.37% 0.94%

MUR to ZAR Stats

Stats Data Last 30 days Last 90 days
High 0.45917 0.45917
Low 0.40950 0.38475
Average 0.43308 0.41002
Volatility 1.56% 1.08%

CNY to ZAR Stats

Stats Data Last 30 days Last 90 days
High 2.52656 2.52656
Low 2.20031 2.01162
Average 2.37231 2.20082
Volatility 1.26% 0.93%

AUD to ZAR Stats

Stats Data Last 30 days Last 90 days
High 11.0674 11.0674
Low 9.91291 9.74086
Average 10.3464 10.0865
Volatility 1.67% 1.04%

GBP to ZAR Stats

Stats Data Last 30 days Last 90 days
High 22.3049 22.3049
Low 19.6544 18.5274
Average 20.6022 19.6446
Volatility 1.83% 1.18%

EUR to ZAR Stats

Stats Data Last 30 days Last 90 days
High 19.9505 19.9505
Low 17.0074 15.7177
Average 18.4457 16.9532
Volatility 1.55% 1.06%

USD to ZAR Stats

Stats Data Last 30 days Last 90 days
High 17.9357 17.9357
Low 15.2687 14.0096
Average 16.6658 15.3673
Volatility 1.37% 0.94%

NOVEL CORONAVIRUS STATS

783,120 confirmed cases

37,696 reported deaths

164,338 recovered*

 South Africa

Confirmed 1,326

Dead 3

Recovered 31

Confirmed Today 0

Died Today 0

Last updated Mar 31, 2020