Events that moved the market 2020

President Trump orders the killing of Iranian General Qasem Soleimani, along with other Iran-backed militia at Baghdad airport.

The SA Reserve Bank’s Monetary Policy Committee unanimously cuts the repo rate by 25bps to 6.25%. It also revises its forecast of GDP growth for 2019 to 0.4% (from 0.5%).

The Shanghai Composite Index sinks more than 3%, the worst pre-new year drop in three decades, fuelled by panic over the outbreak of a deadly virus that locked the city of Wuhan.

The share price of Tongaat Hulett plunges more than 60% on its first day of trading since June 2019.

SAA cancels all of its domestic routes apart from Johannesburg to Cape Town. Its joint Business Rescue Practitioners announces staff cuts and that it’s exploring the sale of some of its assets.

AngloGold Ashanti sells its remaining SA assets to Harmony Gold for about $300 million (R4.4 billion at prevailing exchange rates).

Italian stocks plummet on more than two hundred confirmed cases of coronavirus in the city of Milan.

The SA economy shrinks by 1.4% in the fourth quarter of 2019, following a contraction of 0.8% in the third quarter. This is South Africa's third recession since 1994.

The Fed slashes its key interest rate by half a point to a range of 1.0% to 1.25%, a bigger cut than usual. It states that ‘the coronavirus poses evolving risks to economic activity’.

Saudi Arabia cuts its oil prices by the biggest margin in 20 years after a failed agreement with Russia over oil production. Brent crude is down to $32 a barrel.

The rand falls to its weakest point since 2016 - R16.97 against the US dollar, above R21 to the sterling and R18.44 to the euro.

Sasol loses 45% of its share price value in the first few minutes of trading on the oil price collapse.

The World Health Organization declares the rapidly spreading coronavirus outbreak a pandemic.

The Bank of England cuts interest rates by 25bps, the first cut outside the BoE’s normal schedule since the 2008 financial crisis.

Global shares plummet after President Trump announces a temporary travel ban from Europe in an effort to curb the spread of the coronavirus.

Italy, amid a deadly outbreak of Covid-19, imposes a blanket closure of restaurants, bars and almost all shops. Wall Street has its worst daily crash since 1987; some European bourses their biggest ever. 

The US Federal Reserve cuts interest rates by 100 basis points to a target range of 0% to 0.25%. It states it will expand its balance sheet by at least $700bn in coming weeks.

The Philippine Stock Exchange closes indefinitely and currency and bond trading are suspended - the first market shutdowns worldwide amid the Covid-19 crisis.

The SA Reserve Bank’s monetary policy committee unanimously decides to cut the repo rate by 100bps, the biggest cut in more than a decade.

President Ramaphosa announces a nationwide lockdown – with the exception of essential services - from midnight on 26 March to curb the spread of the COVID-19 virus.

Moody's cites a deterioration in SA's fiscal strength for its decision to lower the country's rating to Ba1 from Baa3. The outlook remains negative.

Anheuser-Busch InBev halves its proposed dividend, saving about $1.1 billion as the coronavirus pandemic has shut bars and cut beer drinking.

The SA Reserve Bank cuts the repo rate by 100 basis points, the second major cut in less than a month.

The gold price trades above $1,720 per ounce, making it worth over R1 million a kilogram.

China experiences its first economic contraction in decades in the first quarter of 2020, with the pandemic leaving China reliant on fragile domestic demand to spur a recovery.

In an unprecedented day of trading, the price for the West Texas Intermediate May oil futures contract trades as low as minus $40.32 with sellers ‘begging’ buyers to take delivery of cargoes.

One in five SA businesses have laid off staff due to the pandemic, according to a new Statistics SA business impact survey based on the responses of 707 businesses across all sectors of the economy.

President Ramaphosa announces a R500 billion stimulus package, to mitigate against the disruption of the pandemic.

The Land Bank defaults on debt that was due, triggering cross-default on certain other bonds.

Edcon commences with voluntary business rescue proceedings. About R2bn of sales are lost due to the nationwide lockdown.

Initial jobless claims total 3.17 million in the week ended 2 May. That brings the seven-week total to about 33.5 million.

The market mood stabilises globally as Beijing reports a 3.5% rise in April exports, confounding market expectations of a sharp fall, as factories restart output after lockdown.

MTN says it recorded a 26.4 % jump in data revenue in the quarter ended 31 March due to lockdown.

The Reserve Bank's monetary policy committee cuts the repo rate for the fourth time this year, from 4.25% to 3.75%. 

Markit’s PMI Index falls to 32.5 in May, its lowest level since the survey began in 2011, showing sharp declines in employment and new orders, and crumbling output due to lockdown.

The ECB increases its emergency bond purchase scheme by 600 billion euros, more than expected, to 1.35 trillion euros, boosting risk-on assets such as the South African rand.

Business confidence in South Africa falls to its lowest level ever recorded on the RMB/BER Business Confidence Index, which started in 1975.

Data shows the UK economy contracted a record 20.4% in April while in lockdown. The contraction means the nation has effectively seen almost 18 years of growth wiped out in two months.

The number of people claiming unemployment in the UK increases by more than 1.5 million in the two months through May to nearly 3 million.

SA's unemployment rate jumps from 29.1% to 30.1%. The last time unemployment was above 30% was in 2002, when it reached 30.4%.

Following a 40% decrease in its jet production, Airbus is cutting 15 000 jobs across Europe. Boeing is cutting over 12 000 US jobs.

SA's consumer confidence index drops from -9 in the first quarter to -33 during the second quarter of 2020.

Amazon.com shares reach $3 000 for the first time after an extended rally.

Growth in SA CPI prices falls to 2.1% year-on-year, its lowest level in more than 15 years as the cost of fuel declines and spending slows in lockdown.

South Africa’s retail sales plunge by a record 50.4% in April and 12% in May.

The South African Reserve Bank announces another 25-basis points cut in the repo rate. This brings the prime commercial lending rate to 7%.

The IMF approves South Africa’s rapid financing instrument (RFI) of $4.3bn (about R70bn), to meet financing needs arising from the Covid-19 pandemic.

US GDP shrinks by 32.9% annualised in the second quarter from the first, the most in quarterly records dating back to 1947.

Royal Dutch Shell posts a net loss of $18.1 billion for the second quarter, due to massive asset write-downs, and warns that job cuts are on the way.

The euro area contracts by 12.1%. Spain took the biggest hit, shrinking 18.5% in the second quarter, while French and Italian output dropped by double digits.

The world’s third-largest economy shrinks by an annualised 27.8% in April-June, the biggest decline since comparable data became available in 1980.

Apple’s market value pushes past $2 trillion, the first time a US company has surpassed this level.

Impala Platinum’s annual earnings jump by nearly 400% after higher metal prices and a weaker rand offset the impact of the pandemic.

Pick n Pay reports a 56.3% drop in first-half profit.

Global food prices have jumped nearly 8% since May as the pandemic disrupts supply lines. Faster inflation has forced several countries’ policy makers to ease up on monetary stimulus.

S&P cuts its assessment of Zambia’s debt to selective default after Zambia couldn’t meet payments and skipped a coupon on its Eurobonds.

The Trump administration loses a bid to prohibit the TenCent-owned WeChat in the US. Tencent’s share price jumps to an intraday record in Hong Kong trading.

SA plans to slash its wage bill over the next three years, including a proposed pay freeze, as it earmarks massive expenditure cuts to rein in a soaring budget deficit.

China slams the brakes on Ant Group’s $35 billion share sale in Shanghai and Hong Kong, derailing the world’s biggest initial public offering.

News that the inoculation developed by Pfizer Inc. and BioNTech SE was more than 90% effective in preventing Covid-19 infections sends stocks formerly held back during lockdowns soaring.

Amazon faces an antitrust complaint from European Union regulators that escalates an investigation into how it handles data from rival sellers on its massive online retail platform.

Fitch and Moody’s downgrade SA’s long-term foreign and local currency debt ratings further. Both agencies maintain a negative outlook.

In the six months to the end of September, Naspers’s revenue rises by nearly 30% to US$13 billion. Takealot in South Africa sees revenue growth of 41%.

Vaccine news, better-than-expected US economic data and the market-friendly selection of Janet Yellen as Treasury secretary of the US send the MSCI World Index to a record high.

The South African economy grows by an annualised rate of 66.1% in the third quarter of 2020, compared to an annualised figure of -51% in Q2. Year-on-year GDP declined 6%.

The current account records a surplus of 5.9% of GDP in the third quarter from a deficit of 2.9% of GDP in the previous three months. As a percentage of GDP, it’s the highest since 1988.

President Trump orders the killing of Iranian General Qasem Soleimani, along with other Iran-backed militia at Baghdad airport.

The SA Reserve Bank’s Monetary Policy Committee unanimously cuts the repo rate by 25bps to 6.25%. It also revises its forecast of GDP growth for 2019 to 0.4% (from 0.5%).

The Shanghai Composite Index sinks more than 3%, the worst pre-new year drop in three decades, fuelled by panic over the outbreak of a deadly virus that locked the city of Wuhan.

The share price of Tongaat Hulett plunges more than 60% on its first day of trading since June 2019.

SAA cancels all of its domestic routes apart from Johannesburg to Cape Town. Its joint Business Rescue Practitioners announces staff cuts and that it’s exploring the sale of some of its assets.

AngloGold Ashanti sells its remaining SA assets to Harmony Gold for about $300 million (R4.4 billion at prevailing exchange rates).

Italian stocks plummet on more than two hundred confirmed cases of coronavirus in the city of Milan.

The SA economy shrinks by 1.4% in the fourth quarter of 2019, following a contraction of 0.8% in the third quarter. This is South Africa's third recession since 1994.

The Fed slashes its key interest rate by half a point to a range of 1.0% to 1.25%, a bigger cut than usual. It states that ‘the coronavirus poses evolving risks to economic activity’.

Saudi Arabia cuts its oil prices by the biggest margin in 20 years after a failed agreement with Russia over oil production. Brent crude is down to $32 a barrel.

The rand falls to its weakest point since 2016 - R16.97 against the US dollar, above R21 to the sterling and R18.44 to the euro.

Sasol loses 45% of its share price value in the first few minutes of trading on the oil price collapse.

The World Health Organization declares the rapidly spreading coronavirus outbreak a pandemic.

The Bank of England cuts interest rates by 25bps, the first cut outside the BoE’s normal schedule since the 2008 financial crisis.

Global shares plummet after President Trump announces a temporary travel ban from Europe in an effort to curb the spread of the coronavirus.

Italy, amid a deadly outbreak of Covid-19, imposes a blanket closure of restaurants, bars and almost all shops. Wall Street has its worst daily crash since 1987; some European bourses their biggest ever.

The US Federal Reserve cuts interest rates by 100 basis points to a target range of 0% to 0.25%. It states it will expand its balance sheet by at least $700bn in coming weeks.

The Philippine Stock Exchange closes indefinitely and currency and bond trading are suspended - the first market shutdowns worldwide amid the Covid-19 crisis.

The SA Reserve Bank’s monetary policy committee unanimously decides to cut the repo rate by 100bps, the biggest cut in more than a decade.

President Ramaphosa announces a nationwide lockdown – with the exception of essential services - from midnight on 26 March to curb the spread of the COVID-19 virus.

Moody's cites a deterioration in SA's fiscal strength for its decision to lower the country's rating to Ba1 from Baa3. The outlook remains negative.

Anheuser-Busch InBev halves its proposed dividend, saving about $1.1 billion as the coronavirus pandemic has shut bars and cut beer drinking.

The SA Reserve Bank cuts the repo rate by 100 basis points, the second major cut in less than a month.

The gold price trades above $1,720 per ounce, making it worth over R1 million a kilogram.

China experiences its first economic contraction in decades in the first quarter of 2020, with the pandemic leaving China reliant on fragile domestic demand to spur a recovery.

In an unprecedented day of trading, the price for the West Texas Intermediate May oil futures contract trades as low as minus $40.32 with sellers ‘begging’ buyers to take delivery of cargoes.

One in five SA businesses have laid off staff due to the pandemic, according to a new Statistics SA business impact survey based on the responses of 707 businesses across all sectors of the economy.

President Ramaphosa announces a R500 billion stimulus package, to mitigate against the disruption of the pandemic.

The Land Bank defaults on debt that was due, triggering cross-default on certain other bonds.

Edcon commences with voluntary business rescue proceedings. About R2bn of sales are lost due to the nationwide lockdown.

Initial jobless claims total 3.17 million in the week ended 2 May. That brings the seven-week total to about 33.5 million.

The market mood stabilises globally as Beijing reports a 3.5% rise in April exports, confounding market expectations of a sharp fall, as factories restart output after lockdown.

MTN says it recorded a 26.4 % jump in data revenue in the quarter ended 31 March due to lockdown.

The Reserve Bank's monetary policy committee cuts the repo rate for the fourth time this year, from 4.25% to 3.75%.

Markit’s PMI Index falls to 32.5 in May, its lowest level since the survey began in 2011, showing sharp declines in employment and new orders, and crumbling output due to lockdown.

The ECB increases its emergency bond purchase scheme by 600 billion euros, more than expected, to 1.35 trillion euros, boosting risk-on assets such as the South African rand.

Business confidence in South Africa falls to its lowest level ever recorded on the RMB/BER Business Confidence Index, which started in 1975.

Data shows the UK economy contracted a record 20.4% in April while in lockdown. The contraction means the nation has effectively seen almost 18 years of growth wiped out in two months.

The number of people claiming unemployment in the UK increases by more than 1.5 million in the two months through May to nearly 3 million.

SA's unemployment rate jumps from 29.1% to 30.1%. The last time unemployment was above 30% was in 2002, when it reached 30.4%.

Following a 40% decrease in its jet production, Airbus is cutting 15 000 jobs across Europe. Boeing is cutting over 12 000 US jobs.

SA's consumer confidence index drops from -9 in the first quarter to -33 during the second quarter of 2020.

Amazon.com shares reach $3 000 for the first time after an extended rally.

Growth in SA CPI prices falls to 2.1% year-on-year, its lowest level in more than 15 years as the cost of fuel declines and spending slows in lockdown.

South Africa’s retail sales plunge by a record 50.4% in April and 12% in May.

The South African Reserve Bank announces another 25-basis points cut in the repo rate. This brings the prime commercial lending rate to 7%.

The IMF approves South Africa’s rapid financing instrument (RFI) of $4.3bn (about R70bn), to meet financing needs arising from the Covid-19 pandemic.

US GDP shrinks by 32.9% annualised in the second quarter from the first, the most in quarterly records dating back to 1947.

Royal Dutch Shell posts a net loss of $18.1 billion for the second quarter, due to massive asset write-downs, and warns that job cuts are on the way.

The euro area contracts by 12.1%. Spain took the biggest hit, shrinking 18.5% in the second quarter, while French and Italian output dropped by double digits.

The world’s third-largest economy shrinks by an annualised 27.8% in April-June, the biggest decline since comparable data became available in 1980.

Apple’s market value pushes past $2 trillion, the first time a US company has surpassed this level.

Impala Platinum’s annual earnings jump by nearly 400% after higher metal prices and a weaker rand offset the impact of the pandemic.

Pick n Pay reports a 56.3% drop in first-half profit.

Global food prices have jumped nearly 8% since May as the pandemic disrupts supply lines. Faster inflation has forced several countries’ policy makers to ease up on monetary stimulus.

S&P cuts its assessment of Zambia’s debt to selective default after Zambia couldn’t meet payments and skipped a coupon on its Eurobonds.

The Trump administration loses a bid to prohibit the TenCent-owned WeChat in the US. Tencent’s share price jumps to an intraday record in Hong Kong trading.

SA plans to slash its wage bill over the next three years, including a proposed pay freeze, as it earmarks massive expenditure cuts to rein in a soaring budget deficit.

China slams the brakes on Ant Group’s $35 billion share sale in Shanghai and Hong Kong, derailing the world’s biggest initial public offering.

News that the inoculation developed by Pfizer Inc. and BioNTech SE was more than 90% effective in preventing Covid-19 infections sends stocks formerly held back during lockdowns soaring.

Amazon faces an antitrust complaint from European Union regulators that escalates an investigation into how it handles data from rival sellers on its massive online retail platform.

Fitch and Moody’s downgrade SA’s long-term foreign and local currency debt ratings further. Both agencies maintain a negative outlook.

In the six months to the end of September, Naspers’s revenue rises by nearly 30% to US$13 billion. Takealot in South Africa sees revenue growth of 41%.

Vaccine news, better-than-expected US economic data and the market-friendly selection of Janet Yellen as Treasury secretary of the US send the MSCI World Index to a record high.

The South African economy grows by an annualised rate of 66.1% in the third quarter of 2020, compared to an annualised figure of -51% in Q2. Year-on-year GDP declined 6%.

The current account records a surplus of 5.9% of GDP in the third quarter from a deficit of 2.9% of GDP in the previous three months. As a percentage of GDP, it’s the highest since 1988.