RFA Breakfast Paper - September 2, 2026
The S&P Global South Africa PMI edged up to 50.5
The S&P Global South Africa PMI edged up to 50.5 in August 2026 from 50.3 in July, signaling a marginal improvement in private-sector conditions and extending the sector’s expansion. The upturn was supported by a return to growth in new orders for the first time in four months, as improved customer finances strengthened domestic demand, while export sales increased only marginally amid persistent economic challenges and political uncertainty. Stronger new business supported higher output and purchasing activity, but elevated cost pressures led firms to reduce employment for the first time in seven months. Input cost inflation accelerated during the month, although it remained well below its May peak, while output price inflation strengthened modestly from July’s five-month low. Despite ongoing cost pressures and weak export demand, business confidence regarding future activity improved, suggesting a cautiously positive outlook for private-sector growth.
U.S. Stocks Rebound as Rate-Hike Bets Cool
U.S. equities rebounded on Wednesday, with the S&P 500 up 0.46% to 7,666.68 and the Nasdaq Composite adding 0.45% to 26,217.83, as the oil-driven yield surge stalled and Fed officials pushed back on an imminent rate hike. New York Fed President John Williams said there were no clear signs a September move is needed, tempering hawkish Jackson Hole rhetoric, while a soft ADP print—38,000 private jobs versus about 47,000 expected—reinforced the dovish read. The 10-year Treasury yield eased to 4.79% and Nvidia rose about 3.2%, leading an advance in which nine of eleven sectors gained ahead of Friday’s payrolls.
NGX Snaps Four-Day Rally on Bank Sell-Off
The NGX All-Share Index snapped a four-session rally, easing 0.03% to 246,019.17 as profit-taking in large-cap names offset broad buying; market capitalisation slipped ₦40.99 billion to ₦158.91 trillion, trimming the year-to-date return to 58.10%. Breadth stayed positive at 33 gainers to 30 losers. Sector performance was mixed: Insurance led (+2.72%), with Oil & Gas (+0.26%) and Industrial Goods (+0.23%) higher, while Banking (-0.59%) and Consumer Goods (-0.21%) lagged as Access Holdings, UBA, Fidelity and Stanbic IBTC declined. Tripple Gee (+10.00%), Sovereign Trust Insurance (+9.71%) and Oando (+9.43%) led gainers; NASCON (-10.00%), Beta Glass (-9.98%) and Academy Press (-9.76%) fell most. Turnover was ₦28.44 billion in 41,475 deals.
