Markets in a Nutshell — June 2026
World
South Africa
Equities
World
Global equities rebounded from the March oil shock, led by US technology and the AI supply chain — emerging markets surged as Korean and Taiwanese semiconductor shares outperformed, while China lagged
South Africa
The JSE slipped in rand terms as resource shares fell sharply, with gold down by double digits and oil heavily off the March highs — financials and industrials advanced, cushioning the broader market
Bonds
World
Global bonds were broadly flat as investors weighed easing oil prices against sticky inflation — credit spreads tightened on resilient earnings and improved risk appetite
South Africa
SA bonds rallied strongly despite the SARB’s May rate hike — high real yields, rand strength and renewed foreign demand supported local fixed income
Currencies
World
The US dollar weakened modestly as risk appetite improved — the euro firmed and emerging-market currencies benefited from better global sentiment
South Africa
The rand recovered ground against the US dollar over the quarter — broad dollar weakness and stronger demand for SA bonds helped, though June was softer
Commodities
World
Gold retreated as speculative and safe-haven demand faded on the prospects of higher rates, and Brent crude fell sharply as the Iran shock de-escalated — copper rose on demand linked to AI, power grids and infrastructure
South Africa
Gold retreated as speculative and safe-haven demand faded on the prospects of higher rates, and Brent crude fell sharply as the Iran shock de-escalated — copper rose on demand linked to AI, power grids and infrastructure
Economy
World
The global economy proved more resilient than was feared — AI capital spending and corporate earnings momentum offset some of the drag from energy disruption and softer consumers
South Africa
SA growth stayed positive but weak — finance, agriculture, trade and transport supported activity, while business confidence and fixed investment remained subdued
Monetary and fiscal policy
World
Central banks remained divided as energy prices unsettled inflation forecasts — the US Fed and Bank of England held rates, while the ECB tightened for the first time since 2023
South Africa
The SARB raised the repo rate to 7.0% in May as fuel-driven inflation risks narrowed the room for policy support — rate cuts are off the table for now