Morning Brief – Euro

Euro

Following yesterday’s ECB meeting confirming that European ultra easy monetary conditions will be maintained and with confirmation that there will be further stimulus measures to counteract the economic effects of Covid when necessary, the market was reassured and the EUR remained firm at USD 1.2150.

U.S. Employment

At a high level, of the 22 million jobs lost in March/April 2020 in the USA, 12 million have been restored. Yesterday in the USA, as expected there were 900,000 initial claims for the past week slightly down from the preceding week. Expectations are that it will take another 2 years for the US economy to recover these jobs lost as a result of the Covid pandemic.

South Africa

Initially praised for their swift and decisive action, the SA government is now under pressure to explain that while other developing countries such as Indonesia and Argentina are rolling out vaccination programs, South Africa has yet to start. While at present the ZAR is at its recent high at 14.87 versus USD, this is more to do with a weaker USD than a testimonial for the SA vaccination program.

Glastonbury

For the second year running the organisers of the Glastonbury music festival have bitten the bullet and cancelled this hugely popular and successful event once again. Tickets from both 2020 and 2021 will be rolled over to 2022. The numbers behind Glastonbury explain the financial success of the festival that has been going strong since1970: 900 acres, 200,000 people attend over a 5 day period; 79 stages and 2,800 acts fuelled by 400 food and refreshment outlets. Lastly, in 2020 tickets sold out in just 34 minutes.

I Wish

A huge hit for Stevie Wonder in 1976 that appeared on his album, Songs in the Key of Life and went straight to Number 1 on the Hot 100 on the US Billboard Chart. The song which seems from another and more innocent age was subsequently also recorded by Celine Dion.

Here is I Wish:

Looking back on when I
Was a little nappy-headed boy
Then my only worry
Was for Christmas what would be my toy
Even though we sometimes
Would not get a thing
We were happy with the
Joy the day would bring

Sneaking out the back door
To hang out with those hoodlum friends of mine
Greeted at the back door
With ‘Boy thought I told you not to go outside’
Tryin’ your best to bring the
Water to your eyes
Thinkin’ it might stop her
From whippin’ your behind

I wish those days could come back once more
Why did those days ever have to go
I wish those days could come back once more
Why did those days ever have to go
‘Cause I love them so

And….. we wish all of our readers a very good weekend!

Discussion and Analysis by Humphrey Percy, Chairman and Founder

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