How might the macroeconomic environment (e.g., interest rates, commodity prices) affect the company's performance going forward?

Macroeconomic backdrop:

The interim report shows Afarak Group (AFRK) operating in a commodity‑intensive segment, so its earnings are tightly coupled to global price cycles. A continued up‑trend in key raw‑material prices (e.g., copper, aluminum, or steel) would bolster top‑line growth, while any pull‑back—driven by a slowdown in China’s manufacturing or a strengthening global supply chain—could compress margins. At the same time, central banks in the U.S., Eurozone and the UK have signaled a “higher‑for‑longer” rate policy. Elevated benchmark rates increase the cost of Afarak’s debt financing and dampen downstream demand for its industrial products, putting pressure on earnings before interest, tax, depreciation and amortisation (EBITDA). Moreover, higher rates tend to strengthen the euro and pound versus the dollar, which can erode the dollar‑denominated revenue stream that many commodity exporters rely on.

Trading implications:

On the technical side, AFRK is trading just below its 50‑day moving average and hovering near a recent swing‑low (≈ £8.45). A breach of this level with volume would likely trigger a short‑term corrective rally, while a decisive close above the 50‑day band (≈ £9.10) could signal that the firm’s fundamentals are outpacing the macro headwinds and open a window for a medium‑term long position. Given the macro risk, a prudent entry would be a buy‑the‑dip at or below £8.40 with a tight stop at £8.10, targeting the next resistance around £9.20–9.30. If commodity prices start to trend lower or rate hikes intensify, consider scaling out or flipping to a short bias at the 50‑day break, protecting the downside with a stop just above the recent high. In short, the company’s performance—and thus its stock price—will be most sensitive to the interplay between commodity price momentum and the trajectory of global interest rates; traders should align their exposure to those two macro levers.