Market overview
The FTSE/JSE All Share closed last week at 92 332.56, increasing by 1.79%. The health care and technology sectors were the biggest contributors increasing by 4.42% and 3.57% respectively during the previous week. Looking at the MSCI indices, developed markets increased by 2.96%, while emerging markets increased by 3.38% over the same period.
Euro area shows reasonable growth
The Eurozone economy grew by 1.2% year-on-year in Q1 2025, matching the previous quarter’s pace and surpassing market expectations for a 1% expansion. Among the Eurozone’s largest economies, Germany remained in recession, with GDP contracting by 0.2% year-on-year in Q1. Meanwhile, France and Italy posted modest growth of 0.8% and 0.6%, while Spain outpaced its peers with a strong 2.8% expansion.
US job data surprises
The U.S. economy added 177 000 jobs in April, significantly surpassing market expectations of 130 000. This figure aligns closely with the average monthly gain of 152 000 over the past 12 months, despite growing uncertainty surrounding President Donald Trump’s aggressive tariff policies. The unemployment rate was at 4.2%, unchanged from March and in line with market expectations.
Thanks to PPS Investments for the weekly Market Overview.
Financial Indicators by Sharedata.co.za
Huge boost for the rand
The rand strengthened significantly on Monday as markets anticipate big interest rate cuts in the United States, increasing appetite for risk. While the local unit has been averaging around R18.88 in recent weeks, it strengthened 1.7% on Monday to trade at R18.28 against the dollar. Read the full article on Businesstech.co.za here>
Fuel prices to fall for third consecutive month
Motorists will enjoy the third consecutive month of fuel price decreases on Wednesday. See what you’ll pay at the pumps from in the Businessday article here>
China risks a spiral into deeper deflation as it diverts U.S.-bound exports to domestic market
As sky-high tariffs kill U.S. orders for Chinese goods, the country has been striving to help exporters divert sales to the domestic market — a move that threatens to drive the world’s second-largest economy into deeper deflation. Read the full article on CNBC here>
Gold rises after weekly loss before Fed rate decision this week
Gold advanced — after its first back-to-back weekly loss this year — as investors mulled an uncertain outlook for global trade and the US economy ahead of a Federal Reserve rate decision this week. See the full article on Moneyweb.co.za here>
Oil prices drop as OPEC+ accelerates output hikes, surplus looms
Oil prices fell more than 1% on Monday after OPEC+ decided over the weekend to further speed up oil output hikes, spurring concerns about more supply coming into a market clouded by an uncertain demand outlook. Read the full commentary on Investing.com here>