Author: Marketforces Africa

Bullish vs. Bearish Markets: A Guide for Smart Investors The stock market, a dynamic battlefield where investors constantly weigh optimism against fear, growth against decline, and opportunity against risk. Two fundamental terms dominate market discussions: bullish and bearish trends, and investors often prefer the former as it creates wealth. Understanding these concepts can help investors make informed decisions, maximize profits, and protect their portfolios from unexpected downturns. A bullish market reflects optimism, strong economic conditions, and rising stock prices. Investors who are bullish believe that stocks, sectors, or the overall market will continue to climb, creating opportunities for growth. When…

Naira Falls as FX Interventions Fail to Redirect Spot Rate The naira tumbled against the US dollar across foreign exchange markets on Tuesday despite extended intervention by the Central Bank of Nigeria (CBN). US dollar demand heated up the currency market amidst a 25% decline weekly forex inflows in the official window. The Nigerian foreign exchange market experienced significant demand pressure today despite the Central Bank of Nigeria’s (CBN) intervention, which saw the sale of over $44.75 million at rates between N1,522.70 and N1,531, AIICO Capital Limited said in a note to investors. The US dollar to naira pair fluctuated…

Inflows into FX Market Declines by 25% to $1bn Inflows into the Nigerian foreign exchange (FX) market declined by about 25.4% to $1 billion, according to data released by investment firms. This happened amidst aggressive US dollars sold to banks by the Central Bank of Nigeria (CBN) last week.  The Central Bank increased its weekly FX sales to banks as the naira came under intense pressure on the back of surging demand for the US dollar. Total FX sales increased by $183.20 million on Friday, bringing the total FX sales for the week to $543.20 million, TrustBanc Financial Group Limited…

Selloffs in Banking Names Drag NGX Index Down Intraday Banking stocks have remained profit-taking targets for value hunters on the Nigerian Exchange, NGX, due to weak buying sentiment. All the big banks are tracking lower amidst their 2024 earnings delay. The fast-changing narrative in the financial markets has continued to trigger sell pressures.  The market opened the week negative, and it appears there is no end in sight year as investors reacted to an inflation rate slowed down, exiting positions in banking names. The market has seen investors rebalancing portfolios with more exits than entry despite earnings, and dividend announcements…

Naira Falls to N1528 amidst CBN FX Sales to Banks The naira fell against the US dollar in the foreign exchange market as a result of a foreign currency shortage, first trading session after the Apex Bank intervention.  Reflecting tight FX liquidity, the exchange rate worsened at the official window closing at N1528 per greenback as demand exceeded the supply. Hence, the naira depreciated by 0.66% in the official window, closing at N1,528.03 per dollar. Similarly, the naira ended the day at ₦1,570 per dollar in the parallel market. The local currency had witnessed a last-minute rally on Friday as…

Nigerian Exchange Shrinks as Investors Pull Out Funds The Nigerian Exchange, NGX, slumped further against as equities investors pulled out more fund from the local bourse amidst depressed sentiment. The local bourse commenced the new trading week on a negative note, with key performance indicators reflecting mixed results. The All-share index fell by 0.15%, while the market capitalization posted a marginal loss of 0.01%. The disparity in the market indicators was influenced by the Listing of Sterling Financial Holdings Company Plc’s 16,666,666,667 Ordinary Shares of 50 kobo each at ₦4.50 Per Share, through Private Placement on the exchange today. Consequently,…

Foreign Investors Bet on Nigerian Tops Stocks Foreign portfolio investors, FPIs, increase bets IN Nigerian top banks stocks, and other listed companies in the equities market. This followed increased block transactions on stocks as investors’ boycotted the Nigerian Exchange trading platform to stem price fluctuations. Transaction details obtained from sources revealed that offshore investors took positions in Tier-1 banks stock primarily and extended their positions in Brewer, and cement names amidst unending quest for alpha. In a note to investors, AIICO Capital Limited revealed that offshore investors were more active in Guaranty Trust Holding Company, which warehoused GTBank, a strong…

USD Falls Against GBP, German Fiscal Plan Boosts EUR The US dollar (USD) fell against its major trading partners early Monday ahead of a busy week that starts off fast on Monday. The Federal Open Market Committee’s FOMC rate decision is the main event of the week Wednesday, while weekly mortgage applications and oil stocks data start the day. The US dollar fell to 103.6, hovering close to five-month lows due to growing economic concerns and trade uncertainties in the US. With the Federal Reserve’s policy decision approaching on Wednesday, markets expect the Fed to keep interest rates steady amid…

NGX is Bleeding, Equities Investors Exiting Positions The Nigerian Exchange, NGX, is bleeding during intraday trading session as equities investors opened trading session with negative sentiment. Trading activities started with sell pressure on financial stocks, with more investors offloading shares in International Breweries and Oando. Amidst directors dealing, United Capital Plc has shed weight. Fidelity Bank is tracking lower. Jaiz Bank posted lost amidst earnings forecast. The reflected past trading record last week. The market closed negative ahead of inflation data, and open on Monday with bearish sentiment. Inflation data set will guide trading activities in the week, stockbrokers said,…

Jaiz Bank Targets N8bn Profit for Q2 Operations Jaiz Bank Plc has forecasted N8.078 billion as profit after for the second quarter of 2025, the Islamic lender said in a regulatory filing on Monday. The non-interest bank expected gross earnings to reach N28.392 billion in the same period, driven by financing and investment income. Financing and investment income from contract is expected to settle at N25.618 billion between April and June, 2025, Jaiz Bank Plc told the Nigerian Exchange in the earning forecast submitted. The bank also expects about N368 million as impairment charge on credit losses, estimated net operating…