Author: Marketforces Africa

US Dollar Falls as Markets Price in Reciprocal Tariffs Delay The U.S. dollar fell against trading pairs as markets price in delayed in reciprocal tariffs implementation. This caused the greenback to retreat amidst busy schedule of data releases.  Against expectation, reciprocal tariffs were not immediately imposed, while a U.S. producer price report helped sooth some inflation concerns. U.S. President Donald Trump directed his economic team on Thursday to formulate plans for reciprocal tariffs on every country that imposes taxes on U.S. imports. But he stopped short of quickly unveiling another round of tariffs, instead kicking off what could be weeks…

Oil Prices Slip for Weeks on Trumps Tariffs Threats Oil prices have declined for four consecutive weeks, dropping below $75 to reach their lowest level in three months, Anadolu Agency said in a report. This followed the United States President Donald Trump’s new policies aimed at increasing fossil fuel production. Prior to the uncertainty surrounding the new administration’s decisions, oil prices had risen to $81.75, testing their highest level since August 12, 2024, before closing the week starting January 13 at $79.87. However, after Trump’s inauguration, the price of Brent crude fell 3% during the week of January 20, experiencing…

Haldane McCall to Pay Shareholders Final Dividend Real estate company, Haldane McCall Plc, board of directors has announced plan to pay shareholders final dividend for 2024. In a regulatory filing, the company told the Nigerian Exchange, NGX, its board has proposed to pay a final dividend of 0.07 kobo for every share of 50 kobo per ordinary share. Haldane further said the dividend payment to shareholders is subject to appropriate withholding tax and approval.  According to the official statement, the proposed amount will be paid to shareholders whose names appear in the Register of Members as at the close of…

Nigerian Breweries Shareholders Exit Positions as Loss Grows As uncertainties grow over its dividend payment, equities investors sell down interest in Nigerian Breweries Plc stock following an unimpressive earnings performance. Data from the Nigerian Exchange showed that share price declined to N33 as market reacted negative to Nigerian Breweries earnings slump in 2024. On Friday, more than 1.8 million shares valued at N60.027 million were traded in the stock market amidst earnings announcement. Analysts expect further reactions next week as investors digest the company’s results.  The brewer share is now trading at discount of N5 below 52-week high on the…

Naira Rebounds Slightly after CBN Sells $66m to Banks In a tight race in the foreign exchange market, the naira recorded last moment gain following negative moment in the past two weeks. On Friday, the US dollar of the naira appreciated by 36 basis points to N1,509.70 at the Nigerian Foreign Exchange Market (NFEM), according to data from the FMDQ platform. In their separate note, analysts cited that improved liquidity was seen as the CBN participated at the FMDQ window to improve supply. In the official window, FX transactions were consummated between N1,480.00/$ to $1,522.00. In the week, the Central…

CBN Affirms Keystone Bank’s Stability Following Court Order The Central Bank of Nigeria (CBN) says Keystone Bank Ltd. remains safe, sound, and fully operational in spite of an existing court order. The bank said this in a statement on Friday by Mrs Hakama Sidi-Ali, Acting Director, Corporate Communications, CBN. Sidi-Ali said although the previous shares of the bank held by the shareholders were forfeited to the Federal Government, the bank remained stable. “We acknowledge this development may have triggered customer concerns; however, we wish to underscore the stability of the banking system, while the safety of depositor’s funds remains our…

Yield on Nigeria Eurobonds Below 9% Ahead of Inflation The average yield on Nigeria sovereign Eurobonds declined, trending below 9% on the back of strong demand from foreign investors. The Eurobond market rebounded driven by strong demand across the SSA and North African regions despite weaker oil prices. Nigeria and Angola saw gains of approximately +0.875 points, while Egypt averaged around +0.5 points. Additionally, the Producer Price Index (PPI), a key indicator of consumer inflation, rose by 0.4%, surpassing the expected 0.3% increase. This suggests a resilient manufacturing sector and potential upward pressure on interest rates, benefiting the USD. Elevated…

Oil Prices Climb as Market Reacts to ‘Great Reciprocal Tariffs’ Oil prices climbed on Friday as market reacted to US President Donald Trump’s plan for ‘great’ reciprocal tariffs. Meanwhile, the possibility of a peace treaty between Russia and Ukraine, along with data suggesting a rise in Russia’s oil production, would continue to cap further price increases. The international benchmark Brent crude rose by 0.4%, trading at $75.18 per barrel while the US benchmark West Texas Intermediate (WTI) increased by 0.3%, reaching $71.51 per barrel, compared to its prior session close of $71.26. US President Donald Trump outlined his plan for…

Central Bank Raises N1.4trn from OMO Bills Auction The Central Bank of Nigeria (CBN) raised N1.4 trillion from OMO bills offered at the primary market auction conducted on Thursday. The auction which was strong oversubscribed attracted local banks and foreign portfolio investors seeking to take advantage of higher yield on naira assets. Demand for money market instruments has continued to increase on the back of elevated yield on naira assets. Inflation pressures has changed the market dynamics. The CBN adopted monetary policy tightening to fight off inflation but the consumer price index has gotten worse, settling at 34.80% in Dec,…

Naira Falls for 8-Day over Insufficient FX Supply The naira fell for eight days since last week due to insufficient foreign currency supply in the official window. Forex market intervention has slowed down amidst strong decline in external reserves. Analysts said the Central Bank has stepped down on its aggressive back up for the naira as Nigeria’s foreign reserves declined to $39.154 billion this week as a results of foreign payments obligations. After a strong rally that caused exchange rate re-rating below N1500, the official window has been witnessing consecutive negative movement. According to spot FX data obtained from the…