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African Markets - Factors to watch on Aug 19

Published 19/08/2020, 05:47
© Reuters.
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NAIROBI, Aug 19 - The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Wednesday.

GLOBAL MARKETS

Asian shares climbed to a seven-month peak on Wednesday tracking the S&P 500, which scaled all-time highs driven by ever expanding policy stimulus aimed at cushioning the blow to economies from the coronavirus pandemic.

OIL PRICES

Oil prices slid on Wednesday as concerns grew that U.S. fuel demand may not recover quickly amid stalled talks on a post-coronavirus economic stimulus package, overshadowing a bigger-than-expected drawdown in U.S. crude stocks.

SOUTH AFRICA MARKETS

The South African rand firmed against the dollar on Tuesday, as market sentiment improved after a coronavirus-induced lockdown was lifted over the weekend, while a weaker U.S. currency also helped the local unit.

KENYA MARKETS

The Kenyan shilling weakened on Tuesday due to increased dollar demand from oil and other merchandise importers, traders said.

NIGERIA CURRENCY

Nigeria's naira fell 1.04% on Tuesday to a low of 480 on the black market after the government said it would reopen airports for international travel in two weeks' time, a move that could increase dollar demand, traders said.

ENERGY

Nigeria's oil ministry will present a long-awaited oil and gas reform bill to the president in the coming days aimed at boosting output and attracting foreign investment, three sources close to the negotiations told Reuters.

CORONAVIRUS LOCKDOWN

Zimbabwe has shortened an overnight curfew imposed to combat the coronavirus pandemic and extended business hours despite rising cases, the government said after a weekly cabinet meeting.

POLITICS

Mali President Ibrahim Boubacar Keita was arrested on Tuesday by mutinying soldiers in the capital Bamako, two security sources told Reuters.

NAMIBIA ECONOMY

Namibia's economy is likely to contract by 7.8% in 2020 before a moderate recovery in 2021, according to the central bank's economic outlook for the year published on Tuesday.

ETHIOPIA POLITICS

Prime Minister Abiy Ahmed on Tuesday replaced the defence minister, his former ally Lemma Megersa, as part of a reshuffle ahead of elections in the heavily divided nation next year.

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