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African Markets - Factors to watch on January 18

Published 18/01/2021, 05:42
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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.

Global Markets

Asian shares pared early losses on Monday as data confirmed China's economy had bounced back last quarter as factory output jumped, helping partially offset recent disappointing news on U.S. consumer spending. 

World Oil Prices

Oil prices fell on Monday, extending losses that last week ended a rally driven by production cuts and strong Chinese demand, with the market's recovery outlook being called into question as coronavirus infections rise. 

South Africa Markets

South Africa's rand weakened against the U.S. dollar on Friday, in line with other emerging market currencies, as currency markets turned risk-averse to the benefit of the greenback.

Inflation

Annual inflation in Nigeria rose in December for the 16th straight month to a more than three-year high, the National Bureau of Statistics said on Friday, as rising food costs lifted the price index.

Markets

Kenya's shilling (KES=) is expected it to weaken due to increased dollar demand from importers and companies preparing to pay dividends to their offshore investors, traders said on Friday.

Remittances

Remittance inflows into Kenya jumped by nearly 11% in 2020 to $3.09 billion as technological innovations helped people overcome the economic struggles brought on by the coronavirus crisis to send more money home, the central bank said on Friday.

Election

Ugandan opposition leader Bobi Wine's party said on Sunday that it was preparing to challenge President Yoweri Museveni's election win and condemned what it called the house arrest of Wine, as news emerged of two people killed in protests over the result.

Coronavirus

Ghana's COVID-19 infection rates are skyrocketing and include new strains of the virus not before seen in the country, filling treatment centres and threatening to overwhelm the health system, President Nana Akufo-Addo said on Sunday.

EU

The European Union has suspended budget support for Ethiopia worth 88 million euros ($107 million) until humanitarian agencies are granted access to people in need of aid in the northern Tigray region.

Vaccines

Millions of coronavirus vaccine doses secured by the African Union (AU) will be allocated according to countries' population size, South African President Cyril Ramaphosa said on Friday. 

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