The first full trading week of the year is likely to be a bumpy one following the killing of a top Iranian commander in a US airstrike at the end of last week, says Bianca Botes, treasury partner at Peregrine Treasury Solutions.<\/p>\n
As a result, the rand is expected to come under pressure, starting Monday (6 January) on the back foot.<\/p>\n
“Brexit and the US-China trade war remain market influencers as we start 2020,” Botes said.<\/p>\n
Bloomberg reported that oil extended its dramatic surge above $70 a barrel as the fallout between the US and Iran escalated after the assassination of one of the Islamic Republic\u2019s most powerful generals.<\/p>\n
Brent futures jumped by another 3% on Monday as the US State Department warned of a \u201cheightened risk\u201d of missile attacks near military bases and energy facilities in Saudi Arabia.<\/p>\n
Prices got a further boost as president Donald Trump reiterated threats of retaliation should Iran \u201cdo anything\u201d and vowed heavy sanctions against Iraq if American troops are forced to leave OPEC\u2019s second-biggest producer.<\/p>\n
Trump said he\u2019s prepared to strike \u201cin a disproportionate manner\u201d and attack more than 50 sites if Tehran retaliates against Soleimani\u2019s killing. The Middle East nation said it has to \u201csettle a score with the US\u201d and that it would no longer abide by limits on its enrichment of uranium. A vote by Iraq\u2019s parliament to expel US troops from the country deepened the fallout, Bloomberg said.<\/p>\n
Trump\u2019s tough talk followed Iran\u2019s threat of a protracted response, and eclipsed a previous assertion that the US hadn\u2019t launched the attack near Baghdad airport on Thursday to \u201cstart a war\u201d. The president is also sending more troops to the Middle East.<\/p>\n
The Iranian leadership has signalled it will probably target US military installations and bases in the Middle East and mobilize its network of militias across the region, Bloomberg said.<\/p>\n
Eskom said Monday that no load shedding expected, despite a constrained and vulnerable system. The state power utility was forced into power cuts over the weekend.<\/p>\n
\n#POWERALERT<\/a> 1
\nDate: 06 January 2020<\/p>\nNo loadshedding expected today, despite a constrained and vulnerable system pic.twitter.com\/c9KZfj3CXb<\/a><\/p>\n
\u2014 Eskom Hld SOC Ltd (@Eskom_SA) January 6, 2020<\/a><\/p><\/blockquote>\n