
Bank of America Sees South African Inflation Target by End of 2027
'We think moving to 3% is almost certain,' Tatonga Rusike and Mikhail Liluashvili, respectively an economist and strategist at the bank, said in a note. 'The phase-in period could be two years — announced by end-2025, and the target reached by end-2027.'
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Legrand lifts 2025 margin outlook as data centres fuel growth
By Anna Peverieri (Reuters) -French electrical and digital building infrastructure group Legrand on Thursday increased its annual operating margin outlook as it reported first-half core earnings above market expectations. The group, which sells products for the commercial, industrial and residential sectors, had already raised its 2025 revenue growth forecast earlier this month, citing strong North American data centre demand. Tech companies, led by those in the United States, are investing heavily in data centres to meet surging demand for data-hungry artificial intelligence models. Legrand CEO Benoit Coquart told journalists that first-half organic sales growth was up 9%, driven entirely by its data centre business, which accounted for nearly a quarter of sales. The company's data centre revenue has surged nearly sevenfold since 2018, and is expected to exceed 2 billion euros in 2025, he added. The group now expects an adjusted 2025 operating margin after acquisitions of between 20.5% and 21% of sales, compared with 20.5% previously. First-half adjusted earnings before interest and taxes (EBIT) of 1 billion euros ($1.15 billion) beat analysts' consensus of 964 million euros in a company-provided survey. Sales rose 13.4% to 4.77 billion euros, topping the 4.66 billion euro consensus. Coquart said data centres' share of sales could potentially reach 30% but is unlikely to surpass 60%, with residential buildings remaining at the core of the company's business. Here he saw early signs of recovery, particularly in France, but expected no big improvements before 2026. In the U.S., which accounts for 39.2% of group revenue, sales rose 21.6%. Legrand maintained its 2030 targets and said it expects to reach the upper end of its revenue range of around 15 billion euros, compared with 8.6 billion euros it reported last year. ($1 = 0.8715 euros) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11 minutes ago
- Yahoo
Schneider Electric confirms 2025 outlook as data centres drive growth
(Reuters) -French electrical equipment maker Schneider Electric confirmed its 2025 outlook on Thursday after reporting second-quarter revenue growth, buoyed by continued strong demand for its data centre offering. Revenues were up 8.3% organically to 10.01 billion euros ($11.43 billion). That compared with estimates of 9.99 billion and 7.5% organic growth in a company-compiled consensus. Revenues at its energy management business rose 10% organically. The company confirmed its implied 2025 adjusted earnings before interest, taxes and amortization (EBITA) margin of between around 18.7% and 19%, compared with an estimate of 18.8%. The guidance included the impact of trade tariffs enacted or announced to-date, the company said. The group, which has been benefiting from a shift toward electrification and heavy investment in data centres, said that the overall environment in data center segment continued to be very strong, with sales growing double-digit in the quarter. It added that it saw good traction for its cooling offers, including for liquid cooling at its recently acquired U.S. company Motivair. Schneider noted that demand at its non-residential segment remains strong, but its "relatively smaller" residential buildings segment continued to see a decline in demand. All of its four regions reported growth in the quarter, Schneider said. Revenues in North America, which is its biggest market accounting for 38% of its second-quarter revenue, grew 12.5% organically. The company has more than 20 factories and distribution centers across the U.S., including facilities in Texas, Ohio, Missouri, North Carolina. ($1 = 0.8758 euros) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data


Bloomberg
13 minutes ago
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ING Beats Estimates as Fees Offset Falling Lending Income
ING Groep NV profit topped analysts' estimates in the second quarter as fee growth offset a decline in lending income. The largest bank in the Netherlands reported net income of €1.68 billion ($1.92 billion) in the three months through June, compared with the €1.54 billion estimate by analysts in a Bloomberg survey. Fees rose 12% while net interest income declined 7.7% from a year earlier.