Apple beats Q1 and guides to strong growth on record iPhone demand

South African Market Summary

South African equities edged higher, with the JSE All Share Index rising 0.14% to 125,249.08 and the Top 40 gaining 0.17% to 117,539.22, as investors assessed a steady policy stance from the South African Reserve Bank, which held rates at 6.75% amid lingering inflation risks, including electricity tariffs. Corporate developments included Standard Bank reaching financial close on a US$250 million facility for Nigeria’s Aradel Energy. Policy focus also turned to proposed B-BBEE amendments and uncertainty around AGOA renewal, with potential economic fallout viewed as limited.

European Market Summary

European equities reversed early gains, with the STOXX 600 slipping 0.2% to 607.14 as a technology selloff weighed on sentiment. The sector dropped 2.8%, its sharpest fall in months, after SAP tumbled 16% on underwhelming cloud guidance and Microsoft results failed to excite investors. Germany’s DAX fell 2%. Elsewhere, Nokia declined on cautious guidance, while ABB rallied on record orders. Adidas announced a €1 billion buyback after strong sales. UK business confidence also softened, reflecting weaker economic optimism among firms.

US Market Summary

US equities declined, with the S&P 500 and Nasdaq pressured by a technology-led sell-off as investors questioned the near-term returns on elevated AI spending. Microsoft fell sharply after underwhelming cloud performance and concerns over the pace of monetising its OpenAI partnership, dragging broader software shares lower, including SAP and ServiceNow. Apple’s post-results trading was volatile despite a revenue beat supported by a China rebound. Markets also monitored political developments, as President Trump signalled an imminent announcement on the next Federal Reserve chair.

Asian Market Summary

Asian markets traded unevenly as investors digested US political developments, including progress on a deal to avoid a government shutdown and signals that a Federal Reserve leadership nomination is imminent. In Japan, Tokyo inflation data showed headline core price growth slowed to 2.0%, aided by fuel subsidies and easing food costs, while underlying measures remained above the Bank of Japan’s 2% target, supporting expectations of a gradual normalisation path. In capital markets, Chinese semiconductor firms advanced sizeable Hong Kong listings, highlighting continued funding momentum tied to domestic technology self-sufficiency priorities.

Currency Market Summary

The South African rand weakened after the SARB left its policy rate unchanged at its first meeting of the year, while the US dollar rebounded to trim weekly losses amid political and monetary policy signals. Markets reacted to indications that President Trump will soon nominate a successor to Federal Reserve Chair Jerome Powell, alongside optimism that a US government shutdown will be avoided. In Japan, Tokyo inflation data showed price growth easing but remaining at target. Earlier dollar softness reversed following renewed affirmation of a US strong-dollar stance.

Commodity Market Summary

Oil prices are heading for their strongest monthly gains in years as escalating Middle East tensions raise the risk of supply disruption from Iran. Broader outages in Kazakhstan, Russia and Venezuela, alongside weather-related U.S. production losses, have tightened near-term supply. While Kazakhstan is restarting Tengiz output and U.S. sanctions relief could support Venezuelan production longer term, geopolitical uncertainty remains the dominant driver. Citi expects limited U.S. and Israeli action, but risk premiums persist. Gold has been volatile, retreating on Federal Reserve speculation yet still tracking its strongest monthly performance in decades.

Exxaro Resources Limited (EXX) -0.40%

Exxaro Resources has confirmed that its acquisition of select manganese assets from Ntsimbintle Holdings and OMH Mauritius has become unconditional, with implementation expected by 27 February 2026. The transaction gives Exxaro full ownership of Ntsimbintle Mining, which holds a controlling stake in the Tshipi Borwa manganese mine, alongside interests in Jupiter, Ntsimbintle Marketing and Hotazel, strengthening its exposure to manganese. The separate acquisition of a 51% stake in Mokala remains subject to outstanding conditions, with the long stop date extended to February 2027.

ASP Isotopes Inc. (ISO) -3.64%

ASP Isotopes reported operational progress at the Renergen helium project since its involvement and bridge funding, citing a 60% increase in gas processed following new wells and plant enhancements. Engagement of Kinley Exploration has improved subsurface modelling and drilling accuracy, contributing to 15 gas intersections and an estimated 80% post-restart success rate. Commercial readiness has advanced, with around 60% of Phase 1 LNG volumes contracted and initial helium supply agreements in place. Management maintains the project is on track for positive operational cash flow before end-2026, with potential reserve upside under evaluation.

Glencore Plc (GLN) +2.34%

Glencore reported full-year 2025 production broadly within guidance, with a strong second-half rebound in copper output driven by improved grades and recoveries at key African and South American operations. Full-year copper production of 851.6kt declined year on year due to mine sequencing, while zinc volumes rose 7% and coal output increased, notably in steelmaking coal. Updated resource estimates lifted copper mineral resources across several projects, supporting long-term growth ambitions. Marketing Adjusted EBIT is expected near the midpoint of the US$2.3–3.5 billion through-cycle guidance range.

Woolworths Holdings Limited (WHL) -6.19%

Woolworths Holdings reported group turnover and concession sales growth of 5.4% for the 26 weeks to 28 December 2025, with positive momentum across all segments despite subdued consumer conditions. Woolworths South Africa led performance, with Food sales up 7.0% and Fashion, Beauty and Home rising 6.2%, supported by market share gains and online growth. Country Road Group sales increased 2.3% amid challenging Australian retail conditions. Headline earnings per share are expected to rise 7–12%, while adjusted HEPS is broadly flat. A share buyback programme repurchased 6.9 million shares.

Apple Inc. (AAPL) +0.72%
Apple delivered a strong fiscal first quarter and issued revenue guidance of 13–16% growth for the March quarter, ahead of market expectations, driven by robust iPhone demand and a sharp rebound in China alongside accelerating momentum in India. iPhone revenue reached a record level, supporting overall sales growth of 16% year on year and margin resilience. Management flagged near-term processor supply constraints and rising memory costs as potential headwinds. Gross margin guidance remains firm, while services and installed base expansion continue to underpin longer-term ecosystem monetisation.

Visa Inc. (V) +1.47%
Visa reported first-quarter results ahead of expectations, supported by resilient consumer spending and strong holiday card usage, particularly among higher-income households. Global payment volumes rose 8% on a constant-dollar basis, while cross-border volumes increased 12%, albeit at a slower pace than a year earlier. Growth in value-added services and commercial and money movement solutions also contributed. Adjusted net income rose to $6.1 billion, with revenue of $10.9 billion exceeding forecasts, reinforcing Visa’s position as a key indicator of global consumption and cross-border economic activity.

Mastercard Inc. (MA) +4.29%
Mastercard reported fourth-quarter earnings ahead of expectations, supported by resilient consumer spending across travel, leisure and essential categories. Gross dollar volume increased 7%, while cross-border volumes rose 14%, signalling continued strength in international travel and commerce. Revenue of $8.81 billion and adjusted earnings per share of $4.76 both exceeded consensus forecasts. The company also announced plans to reduce its global workforce by around 4%, incurring a restructuring charge of approximately $200 million, as it reallocates investment towards higher-growth strategic priorities.

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