RFA Breakfast Paper - September 3, 2026

Egypt’s Private Sector Activity Nears Stabilization as Business Confidence Strengthens

The S&P Global Egypt PMI rose sharply to 49.6 in August 2026 from 46.8 in July, signaling the softest deterioration in non-oil private-sector operating conditions since January and bringing activity closer to stabilization. Output and new orders contracted at slower rates, with the decline in new business the weakest since February, while employment increased for the first time since October 2025 at the second-fastest pace on record. However, purchasing activity fell at its sharpest rate in nearly three years, reflecting material shortages, cash-flow constraints, delayed payments and disruptions linked to the Strait of Hormuz. Price pressures also intensified, with both input costs and output charges rising at faster rates for the first time since May.

Wall Street rallies as hike bets recede

U.S. equities posted their best session in a month. The S&P 500 rose 1.06% to 7,747.71 and the Nasdaq Composite added 1.40% to 26,584.06 as Treasury yields retreated, the 10-year easing to 4.76%. The rally followed dovish remarks from Fed Governor Christopher Waller, who signalled he could support holding rates if inflation keeps cooling; traders cut the odds of a September hike to about 50% from 63%. Snowflake jumped over 20% on strong results and Nvidia rose on its Hugging Face deal, while Broadcom slipped despite beating estimates.

NGX edges up as Seplat masks weak breadth

The Nigerian Exchange opened September higher, with the All-Share Index up 0.15% to 246,388.22 and the NGX 30 up 0.18% to 9,051.14, lifting market capitalisation by about ₦238 billion to ₦159.15 trillion. The advance was narrow: Seplat rose the maximum 10% and led a handful of heavyweights that carried the index, while breadth stayed negative with 22 gainers against 35 decliners. The banking index slipped 0.27% to 2,624.45 even as UBA, GTCO and Access dominated turnover, UBA alone trading over ₦5 billion. The session underscores a market still driven by a few large names rather than broad participation, leaving the headline gain exposed if the leaders stall.