Some interesting events took place over the weekend particularly for Eskom where there was a change to the entire board membership of the state-owned enterprise. Hints of a possible Jacob Zuma ouster from the presidency have seen the Rand peak at R12.04 in early morning trading. Goldman Sachs released a report stating that South Africa is poised for some significant economic growth which has also helped propel the Rand higher. With the World Economic Forum underway in Davos, this week could be significant for South Africa in terms of changing the sentiment towards the economy. It certainly seems like we have an interesting week ahead, below I have a compiled a few key events that traders need to be on the lookout for.

• Monday is relatively subdued in terms of economic data both domestically and internationally. The only significant data expected is Wholesale Inventories numbers out of Canada. After the release of a positive trading statement last week, Adcock Ingram is expected to release its 2^nd quarter results sometime during the course of this week.  

• On Tuesday morning the focus will be on the Bank of Japan which is expected to announce its interest rate decision. Rates are expected to remain unchanged but investors will be more concerned with the details regarding the bank’s asset purchase programme. Japan is also expected to release its Industrial Activity data. The United Kingdom is expected to release its Public Sector Net Borrowing numbers whilst in Germany focus will be on ZEW Economic Sentiment data. Locally, Massmart is expected to release its 4^th quarter earnings results.

• Japan will kick off Wednesday for traders with the release of its Trade Balance numbers. Thereafter focus will be on Manufacturing PMI and Services PMI data from the world’s biggest financial centres. The United Kingdom is expected to release its Unemployment Rate numbers along with its Average Earnings Index numbers. Locally, StatsSA is expected to release CPI data which is expected to come in marginally higher than the previous recording. Towards the close we can expect Existing Home Sales numbers from the USA as well as Crude Oil Inventories numbers.

• Given the most recent rumblings between Catalonia and the Spanish government, it will be important to see how the Unemployment Rate numbers come in on Thursday. Most of the attention however will be on the ECB which is expected to announce its interest rate decision that afternoon. Greater attention will be on the press conference for possible hints on the bank’s asset purchase programme. The USA is expected to release the weekly Initial Jobless Claims, Goods Trade Balance and New Home Sales. StatsSA is expected to release its PPI numbers on the same day.

• Japanese CPI data will be in focus on Friday morning as we expect the release of both the Tokyo and National CPI numbers. The United Kingdom is expected to release preliminary estimate of GDP which should provide for some volatility in the British pound. The USA is also expected to release its estimate of GDP along with its Durable Goods Orders data. In Canada, attention will be on the CPI data expected at 3.30pm.

There might be some interesting headlines from Davos where the World Economic Forum is underway therefore be on the lookout for such news. Steinhoff is still grabbing headlines but we are still awaiting the release of the restated financial statements therefore caution is encouraged when trading the shares. Please keep an eye out for any possible news announcements about the stock on the JSE SENS. The Rand could break below R12/$ this week which could have major implications on

We will be keeping tabs on the events in the markets. Check out our blog for market updates, insights from our GT247.com team, and our independent analysts. Not sure about a trade? Call the GT247.com Trading Desk on 087 940 6102, and bounce your idea off one of our dedicated traders.

Until next week, we wish you profitable trading!