Plot to oust Ramaphosa, and one of South Africa’s major employers to issue retrenchment notices
South Africa’s commodity-linked rand increased on Monday, supported by rising gold prices.
This is despite a disappointing local manufacturing purchasing managers’ index (PMI) survey and weaker-than-expected vehicle sales figures for November.
The rand was trading at 17.0950 against the dollar, reflecting a roughly 0.1% increase from Friday’s close.
The US dollar was last seen 0.3% weaker against a basket of currencies, while gold prices reached a six-week high on Monday, driven by expectations of a US interest rate cut this month and changes in Federal Reserve leadership.
South Africa’s manufacturing PMI experienced its sharpest decline of the year in November, indicating fragile factory activity as falling demand and output outweighed modest job gains and easing cost pressures.
In a separate report, data from the National Automobile Association (NAAMSA) showed a 12.5% year-on-year growth in new vehicle sales domestically, which was softer than the 15.7% increase projected by Nedbank economists and the 16% growth recorded in October.
On the Johannesburg Stock Exchange, the Top 40 index was last up 0.8%, primarily driven by gains in mining stocks.
On Tuesday, 2 December, the rand was trading at R17.10 to the dollar, R22.60 to the pound and R19.86 to the euro. Oil was trading slightly lower at $63.22 a barrel.
5 important things happening in South Africa today
Plot to oust Ramaphosa: The ANC’s national officials are investigating an alleged plot by internal factions to oust President Cyril Ramaphosa. During a recent national working committee meeting, Mondli Gungubele, identified as a key figure in the plot, called for the inquiry. Supporters like Eastern Cape chair Oscar Mabuyane and national chair Gwede Mantashe are reportedly backing Gungubele in his political struggle. [TimesLive]
Eskom electricity price warning: Glencore-Merafe will start issuing retrenchment notices immediately after failing to secure competitive tariffs from Eskom for electricity. Trade union Solidarity reported that nearly half of Glencore’s 22 furnaces are shut down, putting 2,425 direct jobs and over 17,000 indirect jobs at risk if more furnaces close. [Moneyweb]
Major leadership change at Pick n Pay: South Africa’s Pick n Pay said on Monday its chief financial officer, Lerena Olivier, will step down after the retailer’s annual general meeting next year, as the retailer battles mounting losses and fierce competition. The company has appointed Tina Rookledge, a former regional managing partner at EY Western Cape, to join in February 2026 and take over as CFO in August, following a structured handover period. [Daily Investor]
Potential R5 trillion gold mine for South Africa: South Africa could unlock as much as R5 trillion in new investment for gross fixed capital formation (GFCF) and for its Just Energy Transition if it undertakes sweeping reforms to its financial system, according to a report drafted for the National Planning Commission (NPC). [Business Day]
Massive Eskom wage demands: Labour unions representing the majority of Eskom’s workforce have rejected the power utility’s offer to increase their members’ salaries by 3.5% and are demanding hikes of up to 15%.[MyBroadband]
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