RFA Breakfast Paper - July 21, 2026
Ghana's Producer Inflation Slows Sharply in June
Producer price inflation in Ghana eased significantly to 3.5% year-on-year in June 2026, down from 5.8% in May, indicating a notable moderation in upstream price pressures. The latest reading suggests that cost increases faced by producers continued to soften, potentially reducing inflationary pressures further along the supply chain in the coming months. Despite the monthly slowdown, producer inflation remains above the record low of 1.3% recorded in November 2025, while staying well below the historical average of 16.42% since 2009 and far beneath the record high of 78.1% reached in November 2022. The continued moderation in producer prices supports the broader disinflation trend in Ghana and could provide additional room for easing price pressures across the economy if sustained.
Tech Rebound Lifts U.S. Equities as Trade Tensions Escalate
U.S. equities closed higher on Tuesday as technology stocks rebounded, helping lift the broader market. Treasury yields also moved higher, with the 10-year yield ending near 4.63%, while the U.S. dollar strengthened against major currencies. Overseas markets were mixed in Asia but broadly higher in Europe. Oil prices also rose, with WTI crude trading near $84 per barrel as geopolitical tensions continued to disrupt key Middle East shipping routes. The market also absorbed the Trump administration’s announcement of an additional 50% tariff on nearly $20 billion of Canadian goods, primarily targeting automotive, alcohol and dairy products. The tariffs are set to take effect on August 19, although exemptions for energy, critical minerals and other products limit the immediate economic impact. The 30-day implementation period also leaves room for negotiations, but the announcement increases uncertainty for affected businesses and raises the risk of higher input costs and supply-chain disruptions.
Broad-Based Sector Gains Extend NGX Winning Streak
Nigerian equities extended their winning streak as bargain hunting in mid-cap and blue-chip stocks lifted the market higher. The NGX All-Share Index gained 475.60 points, or 0.19%, to close at 246,659.56, while market capitalization rose ₦306.81 billion to ₦159.12 trillion. Sector performance was broadly positive, with four of five major sectors advancing. Insurance led gains with a 0.49% increase, followed by Consumer Goods (+0.47%), Industrial Goods (+0.04%), and Oil & Gas (+0.03%), while Banking declined marginally by 0.02%. Trading activity was mixed, as total volume rose 9.49% to 932.45 million units, while total value traded declined 0.63% to ₦49.28 billion across 50,059 deals. The market’s continued advance reflects sustained investor appetite for Nigerian equities despite high interest rates. The broad-based sector gains point to improving market participation, although the decline in traded value suggests that the rally was not supported by stronger capital flows. Sentiment remains constructive, but the market may require higher turnover to sustain its upward momentum. Investors are likely to maintain a selective approach, focusing on fundamentally sound stocks while assessing valuation opportunities and the impact of the unchanged monetary policy stance.
