Market overview
The FTSE/JSE All Share closed last week at 98 687.06, increasing by 1.53%. The financials and telecommunication sectors were the biggest contributors increasing by 3.27% and 2.66% respectively during the previous week. The biggest detractor was the health care sector, which lost 2.11% over the same period.
Looking at the MSCI indices, developed markets increased by 0.47% during the previous week, while emerging markets increased by 1.68% over the same period.
First positive reading for SA mining in 2025
Mining production in South Africa increased by 0.2% over the past year in May 2025, rebounding after a sharp 7.7% decline in April and ending a six-month streak of contraction. Iron ore and nickel were the biggest positive drivers. On a seasonally adjusted monthly basis, mining output rose by 3.7% in May, after a revised flat reading in the previous month. Mining production increased by 2.6% in the three months ended May 2025 compared with the previous three months.
Chinese growth slightly ahead of expectations
China’s economy expanded 5.2% over the past year in Q2 2025, easing from 5.4% in the prior two quarters and marking the weakest pace since Q3 2024. Still, the latest reading narrowly beat market consensus of 5.1%, supported in part by Beijing’s policy measures amid a fragile trade truce. In June, industrial output growth unexpectedly quickened to a 3-month high, while the jobless rate held at a six-month low.
US inflation continues to increase
The annual inflation rate in the US increased for the second consecutive month to 2.7% in June 2025, the highest level since February, up from 2.4% in May and in line with expectations. The biggest contributors to the increase were food, transportation services and used cars and trucks. The inflation increase might further deter rate cuts as the Fed will want to keep a keen eye on the impact of the tariffs during the second half of the year.
Thanks to PPS Investments for the weekly Market Overview.
Financial Indicators by Sharedata.co.za
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