South Africa's annual inflation rose to 4.5% in September from 4.4% in August, below the 4.7% market consensus but still above the South African Reserve Bank's 3% target. The increase was driven by fuel, with transport costs up 10.8% (from 8.8% in August), diesel up 46% and petrol up 25%. Food inflation edged up to 1.2% from 1.1%, while rental inflation slowed from 4.1% to 3.9%. PSG Financial Services chief economist Johann Els said the print reduces the case for further rate hikes after the central bank raised its repo rate by 25 basis points to 7.25% last month, though inflation could exceed 5% in October and November after a sharp petrol price rise. He noted there is so far little sign of second-round inflationary pressure.
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Related tickers and likely impact
DXY
• NeutralRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/20/2026 | 101.70 |
| Change that session | -0.28% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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