Daily Report 24 July 2026

SA Company News:

The Johannesburg Stock Exchange All-Share Index closed 1.23% lower at the 108 335 level.

In an operational update from Cashbuild, the company said that group revenue increased by 6% in Q4 FY2026, with 1% growth from existing stores and 5% contributed by new stores, while full-year revenue also rose 6%. Comparable store revenue grew 3% in Q4 and 3% for the full year, indicating steady underlying trading performance. Transactions increased 4% in Q4, although existing stores seen a 1% decline, offset by a 5% contribution from new stores, while selling inflation remained low at 1.5%. During the quarter, Cashbuild opened 4 new stores, closed 4 stores, acquired 3 Amper Alles stores, disposed of its Malawi operations, and ended the year with 317 trading stores.

 

SA Economy:

The South African Reserve Bank (SARB) unexpectedly kept its benchmark repo rate unchanged at 7.0%, surprising markets that had widely anticipated a 25-basis-point increase. The decision was supported by a 4-2 vote. The SARB explained that its decision was influenced by a slightly improved inflation outlook and weaker-than-expected economic growth. Despite holding rates steady, the central bank reaffirmed its commitment to gradually bringing inflation back to its preferred 3% target, rather than merely keeping it within the official target range.

The value of building plans approved fell by 13.1% year-on-year to R8 billion in May 2026, reversing the strong 16.9% increase recorded in April. The decline indicates weaker construction activity and suggests that investment in the property and building sectors remains under pressure. The weakness was broad-based across all major categories. Non-residential building approvals recorded the largest decline, falling 10.5% after surging 43.5% in the previous month. This suggests that demand for commercial, industrial, and office developments slowed significantly following April’s strong performance. Residential building approvals also contracted, declining 13.4% year-on-year after increasing 18.0% in April.

 

Global Economy:

The European Central Bank left its key interest rates unchanged, following a 25-basis-point increase in June, the first rate hike in three years, driven by rising energy prices and persistent inflationary pressures.

Since then, ECB policymakers have adopted a cautious and data-dependent “wait-and-see” approach. The Governing Council acknowledged that uncertainty remains elevated and warned that the full impact of higher energy costs on inflation has not yet been fully reflected in the economy. As a result, policymakers will continue to closely monitor developments in energy markets, including the scale and duration of the shock, as well as its broader effects on inflation, consumer spending, and economic growth.

UK retail sales volumes rose 1% month-on-month in June 2026, significantly outperforming market expectations of a 0.3% decline. Although the increase was slightly slower than the 1.2% growth recorded in May, the data points to continued resilience in consumer spending despite ongoing economic uncertainty and elevated interest rates.

 

Global Company:

The FTSE 100 closed 0.73% lower at 10 639. Higher oil prices boosted energy stocks, with BP gaining around 3.0% and Shell rising approximately 1.7%.Among company-specific movers, RELX ended slightly lower after initially rising about 2% earlier in the session. The company reported first-half operating profit in line with expectations and maintained its full-year guidance, offering little new catalyst for investors. BT Group fell more than 1% after keeping its annual outlook unchanged despite reporting a modest decline in quarterly profit.

The Hang Seng Index is trading 1.23% lower at 24 900, giving back some of the gains made in the previous session as rising oil prices and renewed geopolitical tensions weighed on investor sentiment. The weaker market tone was reinforced by a technology-led selloff on Wall Street and rising U.S. Treasury yields, which increased expectations that the Federal Reserve may keep interest rates higher for longer. Among the notable decliners, Kingboard Laminates fell 7.8%, Tencent lost 2.6%, Meituan declined 1.3%, AIA dropped 1.3%, and Xiaomi slipped 2.14%.

In China, the Shanghai Composite is down 1.17% at 3 832 .

The Dow Jones Industrial Average closed 0.98% lower at 51 711, while the S&P 500 closed 1.22% lower at 7 408.The technology sector came under pressure despite several major companies reporting solid earnings. Alphabet fell 6.9% after increasing its capital expenditure guidance, raising concerns among investors about the scale of spending required to support artificial intelligence initiatives. Tesla plunged 14.5% after reporting a drop in profits, despite delivering strong vehicle sales volumes, as investors focused on margin pressures and earnings weakness. Meta Platforms fell 3.4%, Amazon and Oracle both dropped 4.6%, Microsoft lost 2.2%, Nvidia declined 1.6%, and Broadcom slipped 1.1%.Financial stocks were mixed but generally weaker, with Goldman Sachs falling 2.1% and Visa declining 0.5%. Outside the technology sector, Comcast dropped 6.8% after reporting lower profits, while aerospace and defence company RTX climbed 7.3% after delivering earnings that exceeded market expectations.

 

Commodities:

Gold is trading lower by 2.46% at $4 028/oz, as surging oil prices fueled by the escalating Middle East conflict strengthened the case for tighter US monetary policy. President Donald Trump warned of expanded military action against Iran and vowed to hold Tehran accountable for any future Houthi attacks on commercial vessels in the Red Sea, while Platinum is lower by 4.5% to $1 586.84/oz.

Brent crude was 4.41% higher at $99.91.

 

Currency:

The rand traded at R16.81 against the US Dollar, R22.38 against British Pound and R19.13 against the Euro.

The Euro is slightly weaker against the US Dollar to trade at $1.1380.