Author: Julius Alagbe

FGN Bond Yield Rises to 19.06% Ahead of Interest Rate Decision The average yield on federal government of Nigeria (FGN) bonds climbed slightly in the secondary market ahead of the outcome of the Central Bank monetary policy committee decision. Trading activity was largely muted, with yields remaining broadly unchanged across maturities as most players stayed on the sidelines ahead of the monetary policy committee rate decision. In the secondary market, Nigerian bond yields expanded at the short end, mid segment, and long end of the curve by 7bps, 2bps, and 2bps, respectively. Consequently, the average yield on FGN Bonds climbed…

Naira Steadies as FX Reserves Rise in Absence of Dollar Scarcity The Nigerian local currency, the naira, traded on a relatively steady note against the US dollar at the Nigerian Foreign Exchange Market (NFEM) on Monday as the Central Bank of Nigeria (CBN) showed a spot rate of N1598.68 per greenback. The exchange rate appreciated over the last week due to sufficient dollar liquidity at the official window, while analysts said they noticed reduced demand for foreign currency last week. However, at the parallel market, the naira weakened by 0.62% to close at N1,625 per greenback on the back of…

MTN, ACCESS Drag Nigerian Stock Market Cap Down to N68.95trn With sell pressures in MTN Nigeria and Access Holdings Plc and other decliners, the Nigerian Exchange (NGX) equities investors’ combined wealth reduced by about N8 billion to close at N68.95 trillion on Monday, trading details revealed. According to a stockbrokers, the Nigerian bourse opened the week on a negative note as prices of some stock went south due to profit-taking activities that dragged key market performance indicators lower by 0.01%. Stockbrokers attributed the Nigerian bourse downturn to profit-taking activities in some blue-chip stocks, such as MTNN, ACCESSCORP, and others. Access…

MTN, Transcorp Hotels Trigger Intraday Loss in Stock Market Equities investors exiting positions in MTN Nigeria, Transcorp Hotels, and banking stocks are currently dragging the Nigerian Exchange (NGX) All-Share Index lower, according to intraday trading data. Trading details revealed that Transcorp Hotels has already lost its maximum allowable daily price limit of 10% due to sell pressures. The stock had blazed through a series of 52-week highs as investors anticipated better earnings in the second quarter of 2025. Wema Bank’s share price was N3.55 above its rights offer, which is expected to close this week. But sell-side actor weak sentiment…

Rates Swing as Banks Take Out N1.4trn from CBN Facility The short-term benchmark interest rates climbed, albeit slowly, in the money market as the amount of liquidity in the financial system depressed further. Extending the previous week’s tight funding profile, the banking system experienced a funding shortfall that kept the liquidity level in negative note in the money market. Afrinvest Limited said in an update that this shortfall was largely driven by N1.4 trillion ejection through the standing deposit facility of the Central Bank of Nigeria. Some market analysts highlighted that interbank market rates fluctuated last week but eased on…

Naira Strengthens as Corporate Demand for Dollar Reduces Boosted by lower corporate FX demand, the Nigerian naira reclaimed value against the dominant currency, the US dollar, as the spot rate closed at N1598.72 per greenback at the official FX market. The naira opened the week at N1606.15 at the Central Bank of Nigeria (CBN) official FX market but ended the week at N1598.72 at the end of the trading session on Friday. Data revealed that the naira exchange rate has stabilised around N1600 as the CBN continued to intervene in the currency market heavily.  Foreign investor flows and reduced corporate…

Oando Soars Amidst Earnings Anticipation, Oil Spill Notice Indigenous energy company Oando Plc’s market value soared by about 21% on the Nigerian Exchange (NGX) in a fresh rally, reversing sell pressure experienced in the local bourse. In an action propelled by positive sentiment on the indigenous energy stock, investors were seen taking positions in Oando shares in anticipation of the company’s earnings release. Sell pressure on the oil-price-linked energy stocks appears to have reduced. Last week, Oando dropped a hint that the energy company recorded four oil spills between Oct 2024 to date and hinted that it has completed damaged…

Beta Glass Courts Investors’ Attention with Sky High Q1 EPS Frigoglass-backed company Beta Glass Plc. has continued to blaze through strings of 52-week highs at the Nigerian stock market after a solid performance in the first quarter of 2025. The glass producer grew earnings per share (EPS) by 594% year-on-year in the first quarter of 2025 to N16.66 from N2.40 in the comparable period in 2024. Its bottom line strengthened as the company’s net sales increased by 69% year-on-year to N41.164 billion in Q1-2025 from N24.309 billion in Q1-2024. According to trading data on the Nigerian Exchange platform, Beta Glass…

Naira Puts on ‘Show’ Against Dollar in FX Market The naira put on a show against the US dollar in the foreign exchange market on Friday amidst Nigeria’s lack of economic structure and fundamentals that could help in retaining the local currency’s transactional value in international markets. The naira appreciated to N1,598.72 against the U.S. dollar, reflecting a modest gain that suggests continued efforts to stabilise the local currency. According to figures published on the Central Bank of Nigeria’s official website, the naira strengthened by N0.60k against the dollar on Friday. This upward movement represents a 0.03 percent appreciation compared…

US Plan to Tax Remittances Will Impact Nigeria FX Inflow—Note Investment, CSL Stockbrokers Limited, has said that the United States (U.S.) plan to apply tax to remittances could weaken Nigeria’s FX inflows if passed. US lawmakers have proposed a bill that aims to impose a 5% tax on all remittances sent from US residents to recipients abroad as part of efforts to improve fiscal revenues. The new legislation could have far-reaching implications for emerging markets, particularly those that rely heavily on remittance inflows to bolster foreign exchange reserves and support currency stability, CSL Stockbrokers Limited said in a commentary note.…