RFA Breakfast Paper - August 10, 2026

Egypt's Inflation Rebounds as Food Price Pressures Intensify

Egypt’s annual urban inflation rate accelerated to 14.9% in July 2026, up from 14.3% in June, marking the first increase in four months and the highest reading since April, although it remained below market expectations of 15.1%. The acceleration was driven primarily by food and beverage inflation, which rose sharply to 8.0% from 5.4%, reaching its highest level in 14 months. Transport inflation also edged higher to 24.5% from 24.4%, reflecting the lingering impact of the fuel price increases implemented in March, although the pass-through from higher fuel costs continued to fade. Inflation also accelerated in clothing and footwear (13.7% vs. 13.6%) and health (4.5% vs. 4.0%), while housing and utilities remained elevated at 41.2%. On a monthly basis, consumer prices were unchanged, following a 0.4% decline in June, which had been the first monthly contraction since July 2025. Overall, the July data point to renewed inflationary pressure, particularly from food prices, which could complicate the Central Bank of Egypt's efforts to continue monetary easing despite the gradual fading of fuel-related price pressures.

U.S. Stocks Hit Record Highs as Jobs Report Eases Rate-Hike Fears

U.S. equity markets closed slightly lower as investors paused following a strong week that pushed major indexes to record highs. With earnings season largely behind us, attention shifted back to geopolitics as efforts to reopen the Strait of Hormuz remained stalled. An attack claimed by Houthi militants on a Saudi refinery near the Red Sea pushed oil prices more than 4% higher, with WTI crude rising above $80 per barrel. Energy stocks led sector performance on higher oil prices, while rate-sensitive and defensive sectors, including real estate, utilities, and consumer staples, lagged. In the technology space, Taiwan Semiconductor Manufacturing Company reported July revenue growth of 44.7% year-over-year, reinforcing strong demand for AI-related chips. Meanwhile, NVIDIA shares declined following reports of a potential $500 billion financing effort with Wall Street firms to support AI infrastructure expansion.

NGX Starts the Week Higher as Bargain Hunting Drives Blue-Chip Gains

The Nigerian equity market opened the week on a positive note, with the NGX All-Share Index and Market Capitalization both advancing by 1.20%. The rally was supported by continued bargain hunting in mid- and large-cap stocks, particularly AIRTELAFRI, ACCESSCORP, ZENITHBANK, and GTCO. The NGX-ASI gained 2,956.15 points to close at 248,529.75, while Market Capitalization increased by ₦1.91 trillion to ₦160.42 trillion. FTGINSURE topped the gainers with a 10.00% advance, followed by CHAMS, NAHCO, AIRTELAFRI, SOVRENINS, and PRESTIGE. On the downside, AVACAP fell 10.00%, followed by ETI, CAVERTON, IKEJAHOTEL, FTNCOCOA, and CORNERST . Market breadth remained negative, with 23 gainers against 36 losers.