Tag Archiveseconomy


US facing massive $626 billion in fiscal tightening at the end of 2012

By Kevin Lings, Stanlib economist One of the most important upcoming economic and investment issue is how the US government deals with its impending fiscal crisis at the end of 2012. The US fiscal authorities are facing two major problems. Firstly, the expiration of numerous tax benefits at the end of 2012. Secondly, the automatic […]

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2012 is a challenging year

Local economic update: April 2012 By Tendani Mantshimuli, consumer economist, Liberty Life South Africa’s economy grew by 3% last year and is expected to grow by 2.8% this year. South Africa being a small and quite open economy is prone to the fortunes of the global economy. For now the turmoil in the global market […]

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Business confidence declines in second quarter

The RMB/BER Business Confidence Index (BCI) moderated by seven index points from 55 in the first quarter to 48 in the second quarter of 2011. An index level just below the neutral 50 mark means that around half of the respondents surveyed are satisfied and the other half dissatisfied with prevailing business conditions. Despite the […]

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Plunging into Bankruptcy - Financial Speedometer

Recent credit rating downgrades: Greece and Italy

By Arno Lawrenz, CIO, Atlantic Asset Management   Last Friday, the ratings agency Fitch downgraded Greece’s sovereign debt rating by 3 notches in one go. This was followed shortly by Standard & Poors (S&P) downgrading Italy by a notch. What are the likely repercussions and meanings of these actions? There are many rumours surrounding what […]

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Very modest rise in inflation

April CPI as measured by Stats SA came in at 4.2%. In their BJM Express Newsletter, BJM say that this figure was below the consensus forecast of 4.4%, and slightly up on March’s reading of 4.1%. “On a monthly basis, inflation increased 0.3% of which the transport category and specifically petrol made the biggest contribution.” […]

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Where are the jobs?

  SA has a pretty poor record when it comes to employment. The current mantra – and an extremely important one it is – is jobs. Above all else. Unfortunately they are not coming through and latest figures from the Quarterly Labour Force Survey show that instead of a decrease – SA unemployment increased and […]

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Kagiso PMI maintains high level

The seasonally adjusted Kagiso PMI stabilized at a fairly high level of 56.4 during April, only marginally lower than the 13-month peak of 57.2 index points reached in March.   “Both the current activity and forward looking indicators remained robust, suggesting that the improved growth momentum in the factory sector during 2011Q1 was sustained in […]

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Johann Els

SA recovery on track despite global shocks

South African consumers can find some reassurance in the fact that, despite the serious shocks seen around the globe in the first quarter of the year, the economic recovery underway in South Africa is still o­n track and growth prospects remain positive, according to Johann Els (pictured), senior economist at Old Mutual Investment Group SA […]

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