Prowess Investment Managers

Global markets are currently navigating a complex mix of geopolitical risks, trade tensions, and domestic economic pressures while, locally, CPI in January came in at 3.2% as expected.

Last week, Finance Minister Enoch Godongwana’s 2025 Budget presentation was postponed to 12 March as GNU partners failed to find common ground on discussions surrounding a proposed 2% VAT hike. The Federal Reserve remains cautious about rate cuts as inflation risks persist.

Last week, inflation fears gripped markets as the US CPI print for January surprised on the upside. Locally, it was an eventful week that started with US President Donald Trump’s accusations of human rights violations against white farmers in SA.

South African investors are grappling with fresh tariff threats from the Trump administration after the recent executive order to freeze all aid to the country.

Last night President Ramaphosa delivered the 2025 State of the Nation Address (SONA). The theme for this year’s address was “A nation that works for all”. The address marked an important milestone as the President endeavoured to bring certainty to the country’s socio-political and economic landscape. There was a clear demonstration that the country’s democracy remains in robust and intact.

Global markets face uncertainty as the US Federal Reserve holds rates steady amid policy and trade concerns. President Trump’s suspension of US aid to South Africa over land expropriation policies raises diplomatic concerns. The SARB cut the repo rate by 25 basis points to 7.50% to support growth amid subdued inflation. Investors are focused on President Ramaphosa’s upcoming SONA this week, anticipating key economic policy updates amidst lingering geopolitical and inflationary risks.

Risk on sentiment continues to grip global markets as President Donald Trump continues to roll-out his trade tariff agenda. Locally, December CPI print surprised on the downside and all eyes are on the SARB MPC which is expected to deliver a hawkish 25 basis point cut to the repo rate.

As Donald Trump commences his second term as US President, markets have been gripped with uncertainty over exactly what this will mean. Locally, the CPI data due out on Wednesday will be a key focus this week.

Last week, local bond market activity started picking up following the December holidays, but with the market on the backfoot following impressive performance in 2024. Continued talks of tariffs from US President-elect Donald Trump and strong US employment figures reinforced the view that the Fed will follow a cautious approach to interest rate cuts this year…

Business Development Manager Refilwe Rakanang examines the recent 27four DEInvest Annual Survey and explores what it tells us about our sector…