STANLIB Weekly Focus

Weekly Focus

STANLIB keeps you in touch with the latest investment news:

  • Market, economic and investment commentary.
  • Unit trust performance updated every week.

Weekly Focus (11/02/2019)
Weekly Performance Update (06/06/2019)

Economic Weekly

  • SA’s GDP declined by a massive 3.2%q/q in Q1 2019, the worst quarterly performance in the past decade. Broad-based weakness, with almost every major sector declining. GDP growth for 2019 revised lower, again.
  • SA’s current account deficit widened to -2.9% of GDP in Q1 2019, slightly better than expected. It highlights, however, that SA needs to attract R12 billion a month in foreign investment to pay for the deficit in goods and services.
  • SA’s petrol price for June 2019 increased by 9c/l while both grades of diesel increased by 33c/l, mainly as a result of implementing the new carbon tax, along with a weaker rand.
  • Concerns increase around SA’s tax receipts falling well below budget in 2019/2020, given weaker than expected economic growth. Revenue shortfall could reach R49 billion.
  • The US created only 75 000 jobs in May, well below expectations. Employment data for the previous two months revised down by 75 000. Labour market has lost some momentum, heightening expectations that the Fed will cut rates.
  • Please follow our regular economic updates on twitter @lingskevin