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African Markets - Factors to watch on Aug. 31

Published 31/08/2020, 06:12
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The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Monday.

EVENTS: KENYA 

The statistics office is expected to release consumer price inflation data for August. The rate fell to 4.36% in July.

GLOBAL MARKETS

Asian shares notched a 29-month high on Monday as investors wagered monetary and fiscal policies globally would stay super stimulatory, while an upbeat reading on China's service sector augured well for continued recovery there.

WORLD OIL PRICES

Oil prices nudged up on Monday, with Brent futures set to post a fifth straight monthly gain, as global stimulus measures underpin prices even as demand struggles to return to pre-COVID levels in a well supplied market.

SOUTH AFRICA MARKETS

South Africa's rand surged against the dollar on Friday, as the U.S. currency fell heavily and global investors hunted for higher-yielding assets in emerging markets.

MARKETS

Nigeria's capital imports plunged 78.6% in the second quarter year-on-year to $1.295 billion, the statistics office said, as lower oil prices push Africa's largest economy towards recession.

The Kenyan shilling was steady on Friday in subdued trade, dealers said, but was expected to be under pressure due to end-month importer dollar demand.

INTERNATIONAL FLIGHTS

Ghana will reopen air borders to international travel as of Sept. 1 after closing them in March to limit the spread of the coronavirus, President Nana Akufo-Addo said in a speech to the nation on Sunday.

CRISIS

Western diplomats in Zimbabwe expressed deep concern on Friday over a deteriorating political and economic crisis, and said the government should stop using the COVID-19 pandemic to curtail freedoms.

COUP

Mali's West African neighbours on Friday told the military junta which seized control 10 days ago that it must transfer power to a civilian-led transitional government immediately and hold elections within a year.

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