Flash Briefing: Trump signs pandemic aid package, Beitbridge crisis cleared and Naspers drags local index down

By Melani Nathan 

• Global shares ticked up today as US President Donald Trump signed into law a $2.3trn pandemic aid and spending package he had until now refused to sign. Trump signed a bill containing $900bn in pandemic relief, backing down from last-minute demands that undercut his own negotiating team, risked a government shutdown and delayed widely supported economic aid. The government has been operating on temporary spending authority that expires at the end of the day on the 28th of December.
• The South African Department of Home Affairs says the congestion at Beitbridge Border Post has been cleared and traffic has returned to normal. The department worked with the Department of Health, the SA National Defence Force, the South African Police Service, the South African Revenue Service and the Limpopo provincial government to resolve the impasse that had led to traffic congestion at Beitbridge. South Africa’s Department of Health suspended Covid-19 testing requirements for people crossing the Zimbabwe border after it was called upon to urgently intervene in what some called a humanitarian crisis at the border. Confusion over Covid-19 testing requirements and an administrative backlog left truck drivers and commuters stranded for days.
• South Africa is considering reinstating a total ban on liquor sales as the number of Covid-19 infections surge over the summer holiday season, a person familiar with the discussions said. Restrictions on alcohol sales have been implemented to various degrees since March, in part to lower hospital admissions from vehicle accidents and alcohol-related violence. The ban could start on the 29nth of December and last until January 10th, said the person, who requested anonymity because the information is not public and a final decision hasn’t been made. The number of confirmed cases in the country passed 1 million on Sunday.
• South Africa’s main equities index declined this morning, led by Naspers and its Prosus NV unit after Hong Kong-listed Tencent Holdings slumped amid a widening Chinese antitrust probe of the technology sector. With a stake of about 31%, Prosus is Tencent’s largest shareholder. The benchmark FTSE/JSE Africa All Share Index fell 0.8% this morning with cyclical sectors including oil, automotive and travel and leisure down the most. Naspers, the most-weighted stock, which accounts for 17% of the index in South Africa’s benchmark, is back to May lows.

Listen on Spotify:

Listen on iTunes here.