The week ahead:
· SA: Data released Monday by the BER showed that October’s Manufacturing PMI dropped 2.6 points to 45.9.
· SSA: Fitch maintained Mozambique’s long-term foreign and domestic issuer default rating at ‘CC’.
· Global: There was a pickup in global PMI readings in October as the US (51.9), the UK (54.3), China (51.2) and the Eurozone (53.5) trended higher. Additionally, the US and the UK both left their monetary policy rates unchanged at 0.5% and 0.25% respectively
Local / Production data in focus
Local / Production data in focus Mining and manufacturing data scheduled for release next week will give an indication of how the production side of the economy performed in 3Q16. Persistently weak PMI readings and poor electricity consumption in 3Q16 suggests that growth in the manufacturing sector remained muted. FNB expects mining production to have improved steadily, supported by increased production of iron ore and coal. Increased platinum production, despite safety stoppages, should have also contributed positively to aggregate output.
Read more here: FNB Economics Weekly 4th of November 2016