South Africa’s stock market is on a winning streak, with the FTSE/JSE All Share Index up over 7% in dollar valuation in May. This marks its best monthly performance since June 2024 and strongest May in over a decade, outperforming the S&P 500 and Stoxx Europe 600, among others. Leading the charge is tech investor Naspers, riding high on better-than-expected sales from Chinese tech giant Tencent, in which it owns a stake. Platinum miners Sibanye Stillwater, Northam Platinum Holdings, and Impala Platinum Holdings, also added to the surge, buoyed by rising platinum prices. However, domestic sectors like retail and banking lagged amid political uncertainty. Analysts say that the sustainability of the rally hinges on economic reforms, commodity prices, and global investment trends. A recent interest rate cut could offer relief to struggling sectors, but it remains to be seen whether the momentum can be sustained.
Moneyweb