Ryanair Profit Soars on Holiday Demand and Fare Strength, Lifting Airline Stocks

South Africa

South African markets were notably calm ahead of key inflation data due tomorrow, expected to show a modest rise to around 3 % year‑on‑year. Investors are positioning ahead of the SARB’s next policy meeting on 31 July, as markets debate whether a softer print warrants one more rate cut this year. The JSE Top‑40 maintained modest gains, buoyed by a cautious risk-on backdrop. The Top 40 index added 1.13% to close at 91,999.7 points, while the All Share index closed 0.98% higher after reaching 99,653.8 points. Meanwhile, sovereign bond yields remained range-bound, reflecting confidence in fiscal stability despite the lingering focus on budget revisions and coalition governance.

Europe

European equities advanced, supported by dovish ECB rhetoric and optimism around U.S.–EU trade negotiations. Key corporate developments included BP appointing Albert Manifold as chair and Ryanair achieving a strong profit beat, reinforcing travel and energy sector resilience. Regulatory attention hovered over trade tariffs and EU exemptions, especially in autos and steel. Fixed income markets saw sovereign spreads narrow modestly, signalling calmer sentiment as yield expectations stabilised ahead of the ECB policymakers’ cautious stance.

US

Wall Street enjoyed another leg higher, with the S&P 500 and Nasdaq cresting fresh all-time peaks amid a robust earnings season. Verizon raised its outlook, Cleveland‑Cliffs reviewed asset sales, and around 83 % of S&P‑500 firms have exceeded EPS forecasts. Treasury yields dropped on increasing Fed‑cut expectations, fuelled by dovish comments from Fed’s Christopher Waller. Trade discussions with the EU remain under close watch ahead of 1 August deadlines, though markets appear prepared for a managed outcome.

Asia

Asian equity markets showed muted performance, digesting political developments in Japan while awaiting U.S. tech earnings. Yen strength followed Prime Minister Ishiba’s decision to stay in office despite losing upper‑house control, providing risk headroom and keeping BoJ policy on pause. Regional bourses were flat to marginally higher, with modest support from defence stocks and expectations of stability in global rate differentials. Market attention pivoted to corporate earnings and upcoming U.S.–EU/China trade negotiations, with central banks remaining data‑driven.

Currencies

The U.S. dollar held a narrow range as markets awaited further trade clarity and reflected weaker Treasury yields. The yen gained slightly, benefitting from Japan’s political stabilization. Euro and pound showed mild resilience as EUR/USD remained steady ahead of the ECB policy meeting. Emerging market currencies, including the rand, traded with composure, sensitive to dollar moves and commodity momentum. FX positioning continued to reflect recalibration of yield spreads and expectations around central bank guidance.

Commodities

Commodities consolidated, as oil balanced OPEC+ supply signals with demand uncertainty from trade tensions. Gold was supported by a softer USD and cautious tone, with traders weighing tariff negotiations. Base metals saw divergence: copper tracked stronger Chinese PMI data but remained restrained amid consumption concerns. Overall, the tone was one of consolidation, with positioning reflecting cautious stance ahead of macro‑policy and geopolitical catalysts.

MAS P.L.C. (MSP) +1.82%

MAS confirmed receipt of a conditional voluntary bid from Hyprop Investments Limited to acquire a controlling interest in the company. The offer period, which opened on 18 July and closes on 25 July, has prompted the MAS board to establish an independent sub-committee to evaluate the proposal. The Independent Board has raised material concerns, highlighting structural risks including a compressed timeline, potential dilution below MAS’s net asset value, irrevocable acceptance terms, and lack of shareholder withdrawal rights. The board has also flagged the absence of engagement from Hyprop prior to the offer and the inability to provide an independent fairness opinion within the tight timeframe. MAS shareholders are urged to exercise caution and seek independent financial advice.

Mantengu Mining Limited (MTU) +8.47%

Mantengu confirmed the fulfilment of all conditions precedent relating to its acquisition of Blue Ridge Platinum Proprietary Limited, following receipt of Ministerial Consent under Section 11(1) of the MPRDA. The transaction, originally announced in October 2024, involves the full acquisition of Blue Ridge’s equity and shareholder claims. Blue Ridge is a shallow, mechanised PGM mine with an integrated concentrator, targeting a 20–32 million tonne UG2 orebody and holding a 1 million tonne stockpile rich in PGMs and chrome. Currently under care and maintenance, the asset will be consolidated into Mantengu’s financials from 1 August 2025. The deal marks a significant strategic expansion for Mantengu within the PGM sector.

Ryanair Holdings plc (RYA) +5.71%

Ryanair’s latest quarterly profit more than doubled year‑on‑year, driven by favourable Easter holiday timing and stronger average fares. The robust result triggered a roughly 6% share surge across the STOXX 600, boosting airline sector peers such as Lufthansa and EasyJet. Management attributed the outperformance to resilient leisure travel demand and prudent cost discipline, with the metrics exceeding consensus while reinforcing Ryanair’s low‑cost moat in a competitive environment.

Stellantis NV (STLAP) +1.60%

Stellantis posted a substantial first‑half net loss of €2.3 billion, significantly disappointing the market. The shortfall was largely attributed to higher costs, particularly in EV production ramp‑up and supply chain disruptions. Shares fell circa 1.2%, reflecting investor concerns over scaling challenges amid aggressive EV targets and uncertain macro conditions

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