Market Overview
The FTSE/JSE All Share closed last week at 87 916.44, decreasing by 0.54%. The oil and gas and basic materials sectors were the biggest contributors gaining 2.46% and 0.57% during the week. The technology and consumer discretionary sectors were the biggest detractors declining by 2.14% and 1.93% over the same period.
Looking at the MSCI indices, developed markets decreased by 0.74% during the previous week, while emerging markets increased by 1.95% over the same period.
Decline in SA mining activity
South Africa’s mining production shrank by 2.7% in January 2025, following a 2.4% decline in the previous month. This marks the third consecutive month of contraction and the sharpest drop since June 2024.
US Inflation sees slight decline
The annual inflation rate in the US eased to 2.8% in February 2025 from 3% in January, below forecasts of 2.9%. Energy costs declined 0.2% year-on-year, following a 1% rise in January which was the first increase in six months. Meanwhile, annual core inflation slowed to 3.1%, the lowest since April 2021, from 3.3% and below expectations of 3.2%.
Thanks to PPS Investments for the weekly Market Overview.
Financial Indicators by Sharedata.co.za
JSE and Rand stand firm despite Trump tariffs and Budget challenges
JSE equities and the Rand held their ground despite Trump and Budget 2025. The controversial “second” attempt to set a national budget by the Minister of Finance, Enoch Godongwana, last Wednesday did not run smoothly as members inside the Government of National Unity and other opposition parties disagreed over many points. Fead the commentary by Chris harmse on IOL Business Report here>
Bad news for interest rates in South Africa
A key gauge of South African inflation expectations rose slightly, providing central bankers with another reason to be cautious about lowering borrowing costs when they meet this week. Follow the Businesstech.co.za article here>
Trump’s trade salvos test nerves of central bankers
An anxious sense of wait-and-see may emerge from central banks in the coming week, in their first collective assessment of how President Donald Trump’s trade policies are impacting the world economy. Read the full article on Moneyweb here>
U.S. futures, transatlantic trade, Chinese growth – what’s moving markets
U.S. stock futures retreat Monday amid recession fears, ahead of the release of the latest retail sales data, a key gauge of the health of the American consumer. The Chinese economy shows signs of life, while the American Chamber of Commerce to the EU warned of the potential damage to transatlantic trade. Read the full Investing.com article here>
Gold inches up on lingering geopolitical and economic worries
Gold firmed on Monday after touching a historic milestone last week, as geopolitical tension, jitters about tariffs escalating trade friction and the increased hope of interest rate cuts from the US Federal Reserve continued to fuel safe-haven demand. Read the BusinessDay article in full here>