South African equities started the week on firmer footing, with the JSE FTSE All Share Index opening higher following gains in technology and financials.
Naspers, Firstrand, and Capitec Bank Holdings led early advances, while weaker performance from Gold Fields, Vodacom, and MTN Group tempered broader momentum.
Market breadth was moderate, with just over half of the sectors trading in positive territory.
Sentiment was lifted by the government’s renewed focus on infrastructure, following oversight visits to the Ports of Durban and Richards Bay.
Deputy Ministers Seiso Mohai and Mkhuleko Hlengwa reaffirmed plans to improve competitiveness. While structural headwinds and global uncertainty may limit near-term equity gains, targeted reforms and progress on infrastructure delivery could provide underlying support to the domestic equity market in the quarters ahead.
Looking ahead, the release of inflation data next week will be closely monitored. April’s slight increase to 2.8% has raised questions over the inflation trajectory and its implications for monetary policy. This week, manufacturing production, gold and mining production and business confidence data could affect the direction of the market.
