Market overview
The FTSE/JSE All Share closed last week at 93 528.75, increasing by 0.98%. The basic materials and telecommunication sectors were the biggest contributors increasing by 11.62% and 1.67% during the previous week. The biggest detractors were the consumer discretionary and technology sectors, which lost 3.13% and 2.93% over the same period.
Looking at the MSCI indices, developed markets decreased by 1.52% during the previous week, while emerging markets decreased by 0.08% over the same period.
SA inflation edges up
South Africa’s annual inflation rate edged up to 2.8% in April 2025, slightly higher than 2.7% in March, which was the lowest level since June 2020. The main upward contributions came from prices for housing and utilities, led by electricity, gas and fuel prices. In contrast, the main downward pressure came from transport prices, which fell 3.9%. On a monthly basis, the CPI increased 0.3%, slightly below the 0.4% rise recorded in March. Meanwhile, the annual core inflation rate eased to 3%, the lowest since July 2021, compared to 3.1% in March.
Uptick in Chinese retail sales
China’s retail sales increased by 5.1% year on year in April, moderating from March’s over 1-year high of 5.9% and missing market estimates of 5.5%. The slowdown came amid weak domestic consumption, as households remained cautious due to economic uncertainty, sluggish income growth, and concerns over the impact of rising U.S. tariffs.
Thanks to PPS Investments for the weekly Market Overview.
Financial Indicators by Sharedata.co.za
South African rand slips, local rate decision in focus
The South African rand weakened on Monday, with the central bank’s interest rate decision likely to be the highlight this week. At 1533 GMT, the rand traded at 17.86 against the dollar, about 0.2% weaker than its previous close. See the full article on MSN.com here>
Close call for interest rates in South Africa this week
The rand is enjoying a strong run against the dollar, but economists are not sure what to call for the Reserve Bank’s interest rate decision this week. The South African rand continued to trade below R18.00 to the dollar on Monday (26 May) at R17.87/$, supported by a renewed weakness in the greenback. See the full article on Businesstech.co.za here>
Stocks and euro jump on Trump EU tariff delays
Global markets climbed on Monday and the euro rallied after U.S. President Donald Trump kicked his threat to slap 50% tariffs on European Union goods into July, marking another temporary trade policy reprieve. Read the full Reuters article here>
Gold slips after Donald Trump extends EU deadline
Gold prices eased on Monday after US President Donald Trump set a July 9 deadline for a trade deal with the EU, rescinding his earlier threat of a 50% tariff from June 1. Read the full BusinessDay article here>
Oil climbs after Donald Trump extends EU trade talks deadline
Oil prices gained on Monday after US President Donald Trump extended a deadline for trade talks with the EU, easing the concern about US tariffs on the bloc that could hurt the global economy and fuel demand. Read the latest report from BusinessDay here>
Is this a turning point for markets?
Despite a turbulent start to 2025 marked by policy uncertainty and renewed concern over the U.S. growth outlook, equity markets have shown surprising resilience in recent weeks. Read the full commentary on Investing.com here>