FX DAILY REPORT – 02 December 2024
- The Rand opened weaker against the GBP & EUR and slightly stronger against the USD.
- The EUR regained some ground on Friday after ECB member Isabel Schnabel signalled a more hawkish approach to future rate cuts. She urged her colleagues to adopt a gradual path, cautioning that Trump’s proposed trade tariffs could pose risks to the Eurozone economy.
- On Saturday, Trump issued a statement on his social media platform, Truth Social, threatening to impose 100% tariffs on BRICS nations if they opt against using the USD as their reserve currency. This comes as momentum builds toward the creation of a BRICS currency.
Todays Events:
- South African Manufacturing PMI at 11:00 – Previous months result was 52.8. A higher than previous result can be seen as positive for the ZAR.
- UK S&P Global Manufacturing PMI at 11:30 – Expected to be 48.6 compared to previous months 49.9. A higher-than-expected result can be seen as positive for the GBP.
- Eurozone Unemployment Rate at 12:00 – Expected to remain the same at 6.3%. A higher-than-expected result can be seen as negative for the EUR.
- US ISM Manufacturing PMI at 17:00 – Expected to be 47.7 compared to previous months 46.5. A higher-than-expected result can be seen as positive for the USD.