Latest data up to end-November 2021, show that financial conditions have further loosened up month-on-month, declining by 1.4%. However, the average value of the FCI over the past 12 months was up 10.4% compared with the average for the previous 12 months. Compared with only the month of November 2020, it was up 11.7%. These increases were mostly owing to the rise in the value of the rand, the sharp increase in companies’ earnings yields, and the large decline in money supply growth vis-à-vis nominal GDP growth.
Subscribers to EasyData can download the complete report in PDF format on www.easydata.co.za.