Dashboard: 31 March 2022

Inflation rates continued their upward trend for all countries considered, with Mauritius and Ghana displaying year-on-year CPI growth well above its longer term (5-year) average.

The South African Reserve Bank (SARB) has increased the repo rate by a further 25 bps following a 25 bps increase in January 2022. The recent increase in interest rates is another in a series of increases as the SARB tries to slow inflation in the South African market.

South African Markets (ZAR)

Latest value Last mo. 3 mos. 1 yr 3 yrs ann. 5 yrs ann.
JSE ALL SHARE  75 497,15  -0,8%  2,4%  13,6%  10,2%  7,7%
JSE Volatility Index (% increase)  22,55  18,1%  16,2%  1,5%  9,3%  6,2%
ALBI  837,98  0,5%  4,1%  1,9%  8,4%  8,9%
Repo Rate (% increase)  4,25%  6,3%  13,3%  21,4% -14,3%  -9,5%

South African Market Cumulative Performance

South African Yield Curve

Offshore Markets*

Latest value Last mo. 3 mos. 1 year 3 yrs ann. 5 yrs ann.
FTSE All World Index  469,01  1,9%  -5,6%  5,6%  11,8%  9,6%
FTSE Emerging Market Index  579,95  -2,3%  -5,6%  -10,2%  3,3%  3,7%
All Share Index (Kenya)  155,74  -2,8%  -6,4%  -1,8%  -0,4%  3,6%
All Share Index (Zambia)  6 881,85  6,3%  12,9%  71,1%  7,1%  9,3%
All Share Index (Nigeria)  46 965,48  -0,9%  9,9%  20,3%  14,8%  13,0%
All Share Index (Mauritius)  2 198,45  1,8%  4,8%  37,4%  0,5%  2,6%
Composite Index (Ghana)  2 743,19  1,7%  -1,8%  23,9%  4,3%  8,0%

Inflation***

Latest value Last mo. 3 mos. 1 year 3 yrs ann. 5 yrs ann.
CPI (ZAR)  177,10  0,6%  0,8%  4,9%  4,1%  4,1%
CPI (Kenya)  120,14  0,8%  1,6%  5,6%  6,2%  5,2%
CPI (Zambia)  353,61  0,8%  5,1%  13,1%  14,8%  13,8%
CPI (Nigeria)  424,39  1,6%  3,1%  13,9%  14,8%  13,8%
CPI (Mauritius)  117,63  2,4%  3,8%  8,4%  4,1%  3,4%
CPI (Ghana)  143,05  2,4%  4,5%  14,7%  10,3%  10,1%

Currencies (ZAR)

Latest value Last mo. 3 mos. 1 year 3 yrs ann. 5 yrs ann.
GBP  19,23  -6,7%  -11,2%  -5,6%  0,6%  2,7%
USD  14,60  -4,9%  -8,7%  -1,1%  0,3%  1,7%
EUR  16,18  -6,3%  -11,2%  -6,8%  -0,2%  2,5%
MUR  0,32  -8,8%  -12,2%  -11,1%  -8,1%  -3,3%
KES  0,13  -5,8%  -10,1%  -6,0%  -4,1%  -0,5%
ZMW  0,81  -6,5%  -15,9%  20,6%  -12,2%  -10,3%
GHS  2,00  -13,4%  -24,5%  -22,1%  -9,2%  -8,6%
NGN  0,04  -4,8%  -9,4%  -9,4%  -9,5%  -4,3%

African Stock Exchanges’ Cum. Performance

Rand Exchange Rate

* Indices are all reflected in their respective local currencies. FTSE Indices are quoted in USD. Data Source: Thomson Reuters
*** CPI is lagged by one month

Commentary

The JSE ended the month positively with a real return of 2.2% in local currency terms. The returns on other African markets considered were mixed – with the Zambian market having a strong showing, whilst the Mauritian markets remained relatively flat in real local currency terms. The Ghanian and Kenyan markets (as well as the Nigerian market to a lesser extent) posted.

South African equities have outperformed bonds, generating excess returns of 1.86% over the past month and 6.03% over the past 12 months. Over the longer term (5 5-years) however, the bond and equity market returns are relatively on par.

Inflation rates continued their upward trend for all countries considered.

The Rand strengthened against all currencies considered over the past month, except for the Zambian Kwacha. The Rand saw a considerable increase relative to the Ghanaian Cedi, following a downgrade to Ghana’s credit rating in early 2022.

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