In this week’s edition:
· Global Equity Markets End Higher on Renewed Investor Sentiment
· Gold Rises 1.02%, Nearing Two-Week High After U.S. Imposes Tariffs on Gold Imports
· Ghana’s Treasury Auction Undersubscribed by 22.13% After Weeks of Oversubscription as Yields Continue to Decline
· Ghana Stock Exchange Rally Persists, Driven by MTNGH — GSE-CI Climbs to 51.10% YTD, While GSE-FSI Slips to 43.18% YTD
Kindly click to view the full report: Global Markets Update - August 11, 2025
AROUND THE GLOBE
· US Q2 Productivity Rises 2.4%, Beats Forecasts
· US nonfarm labor productivity grew 2.4% in Q2 2025, rebounding from a 1.8% drop in Q1 and above the 2% forecast. Output rose 3.7% while hours worked increased 1.3%. Manufacturing productivity gained 2.1% as output rose 2.3% and hours worked 0.3%. Year-on-year, productivity was up 1.3%.
· Trump to Impose 100% Tariff on Imported Semiconductors
· President Trump announced a 100% tariff on all semiconductor imports, exempting firms committed to US manufacturing. The move, part of a Section 232 national security probe, aims to boost domestic chip production.
· US Inflation Expectations Rise to 3.1%
· US consumer inflation expectations for the year ahead rose to 3.1% in July 2025 from 3% in June. Five-year expectations climbed to 2.9%, while three-year stayed at 3%. Expectations for gas, medical care, college, and rent eased, food stayed at 5.5%, and home price growth held at 3%.
· BoE Cuts Rates to 2-Year Low
· The Bank of England (BoE) lowered rates by 25 bps to 4%, the lowest since March 2023, in a historic two-round vote split 5–4. Governor Bailey called the move “finely balanced,” citing sticky inflation—seen peaking at 4% in September—and labor market strain. Growth for 2025 was upgraded to 1.25%, with markets eyeing one more cut this year.
· China CPI Holds Flat, Beats Forecasts
· China’s consumer prices were unchanged year-on-year in July 2025, defying forecasts for a 0.1% drop. Non-food prices rose 0.3% on subsidies, while food prices fell 1.6%. Core inflation hit a 17-month high at 0.8%. Monthly CPI rose 0.4%, the fastest since January, partly due to extreme weather.
GHANA
· Ghana Inflation Falls to 12.1%, Lowest in Nearly Four Years
· Ghana’s annual inflation eased to 12.1% in July 2025, the lowest since October 2021 and the seventh straight monthly decline. The drop was supported by a strong cedi, buoyed by higher gold and cocoa prices. Food inflation slowed to 15.1% from 16.3% in June, while non-food inflation eased to 9.5% from 11.4%. On a monthly basis, consumer prices rose 0.7% after falling 1.2% in the previous month.
AFRICA
· South Africa’s Forex Reserves Hit Record $69.16 Billion
· South Africa’s gross foreign exchange reserves climbed to a historic high of $69.161 billion in July, up from $68.415 billion in June. The increase was fueled by higher gold reserves ($13.332 billion) and foreign currency reserves ($49.395 billion). However, Special Drawing Rights (SDR) holdings dipped to $6.434 billion. The central bank’s forward position, reflecting unsettled or swap transactions, also rose slightly to $0.535 billion from $0.532 billion in the previous month.
· Egypt Inflation Eases to 13.9%, Lowest in Three Months
· Egypt’s annual urban inflation fell to 13.9% in July 2025 from 14.9% in June, marking its second monthly decline and the lowest level since April. The slowdown was largely driven by easing food prices, which rose just 3.4% — the smallest increase since June 2021 — compared to 6.9% in June.
Sources: Bloomberg, Reuters, Trading Economics
