BER Weekly
BER Weekly, 11 January 2021
Last updated: Jan 11 2021 8:49AM
It has been a busy start to the year with lots to digest already. The narrative late last year that 2021 would be a year of two halves for the global and SA economy was reinforced last week.
BER Weekly, 14 December 2020
Last updated: Dec 14 2020 7:32AM
The rollercoaster of positive and very depressing news that has characterised 2020 featured again last week. The good news on notably better-than-expected domestic data for Q3 was dampened by confirmation that SA is officially in a second COVID-19 wave. In
read moreThe rollercoaster of positive and very depressing news that has characterised 2020 featured again last week. The good news on notably better-than-expected domestic data for Q3 was dampened by confirmation that SA is officially in a second COVID-19 wave. In addition, after Eskom warned on Thursday night that the electricity system was severely constrained, stage 2 load shedding was implemented on Saturday.
BER Weekly, 7 December 2020
Last updated: Dec 7 2020 11:27AM
It was an eventful week with a mixed set of SA data releases (see the domestic section), the start of court proceedings on the disputed public sector wage bill (PSWB) and the introduction of the first localised restrictions in SA to stem the resurgence of
read moreIt was an eventful week with a mixed set of SA data releases (see the domestic section), the start of court proceedings on the disputed public sector wage bill (PSWB) and the introduction of the first localised restrictions in SA to stem the resurgence of COVID-19.
BER Weekly, 30 November 2020
Last updated: Nov 30 2020 7:53AM
A concerning development over the past week was the continued increase in new COVID-19 cases in SA. On the global news front, the announcement of another vaccine and indications that the Trump administration will now allow for a smooth transition to
read moreA concerning development over the past week was the continued increase in new COVID-19 cases in SA. On the global news front, the announcement of another vaccine and indications that the Trump administration will now allow for a smooth transition to president-elect Joe Biden’s team meant that global stock markets continued to rally despite some disappointing international data releases.
BER Weekly, 23 November 2020
Last updated: Nov 23 2020 8:36AM
One can perhaps sum up last week’s domestic economic data as confirming some optimism about the initial (third quarter) recovery from the 2020Q2 GDP crash. At the same time, some of the key concerns about domestic economic prospects resurfaced. The latter was
read moreOne can perhaps sum up last week’s domestic economic data as confirming some optimism about the initial (third quarter) recovery from the 2020Q2 GDP crash. At the same time, some of the key concerns about domestic economic prospects resurfaced. The latter was driven by two key developments: First, a rise in the seven-day rolling average of daily new COVID-19 cases in SA. Second, the decision by credit rating agencies Fitch and Moody’s to further downgrade SA’s creditworthiness.
BER Weekly, 16 November 2020
Last updated: Nov 16 2020 8:26AM
The biggest financial market driver over the past week came on Monday when pharmaceutical company Pfizer announced its experimental COVID-19 vaccine is 94% effective based on initial trial results. Global equity markets surged in response to the announcement,
read moreThe biggest financial market driver over the past week came on Monday when pharmaceutical company Pfizer announced its experimental COVID-19 vaccine is 94% effective based on initial trial results. Global equity markets surged in response to the announcement, while oil and other industrial commodities also increased sharply.
Local assets were swept up in the enthusiasm with government bond yields declining while the rand exchange rate continued its recent strengthening streak and traded at its best level in about two months.
BER Weekly, 9 November 2020
Last updated: Nov 9 2020 7:47AM
Last week’s news flow was dominated by the US presidential election. Although it was clear early on that Joe Biden was on track to win the popular vote, some of the electoral college votes in battleground states remained too close to call for days after the 3
read moreLast week’s news flow was dominated by the US presidential election. Although it was clear early on that Joe Biden was on track to win the popular vote, some of the electoral college votes in battleground states remained too close to call for days after the 3 November election.
BER Weekly, 2 November 2020
Last updated: Nov 2 2020 8:17AM
Last week had a lot for global and domestic financial markets to digest. On the international front, the focus remained on the concerning trend of fast-rising confirmed COVID-19 cases in continental Europe, the UK and the US.
read moreLast week had a lot for global and domestic financial markets to digest. On the international front, the focus remained on the concerning trend of fast-rising confirmed COVID-19 cases in continental Europe, the UK and the US.
BER Weekly, 26 October 2020
Last updated: Oct 26 2020 8:34AM
Last week was quiet on the domestic data front. Even so, risky assets outperformed. This included the rand exchange rate, which ignored idiosyncratic weakness in peer currency the Turkish lira. The rand was also immune to a further worsening of the COVID-19
read moreLast week was quiet on the domestic data front. Even so, risky assets outperformed. This included the rand exchange rate, which ignored idiosyncratic weakness in peer currency the Turkish lira. The rand was also immune to a further worsening of the COVID-19 situation in Europe. Renewed concern about the Eurozone (EZ) GDP outlook was reflected in a pullback of sentiment and the flash October services PMI data the re-institution of virus mitigation measures.
BER Weekly, 19 October 2020
Last updated: Oct 19 2020 10:29AM
The main domestic event last week was President Cyril Ramaphosa’s presentation of South Africa’s economic reconstruction and recovery plan to parliament on Thursday. On the local data front, Stats SA released a slew of real economic data for August, including
read moreThe main domestic event last week was President Cyril Ramaphosa’s presentation of South Africa’s economic reconstruction and recovery plan to parliament on Thursday. On the local data front, Stats SA released a slew of real economic data for August, including mining and manufacturing production, as well as retail and wholesale trade sales. With the exception of wholesale trade, all sectors performed better in August relative to July, but momentum is slowing.