Author: Marketforces Africa

Investors Take Profit on Nigerian OMO, Treasury Bills OMO Bills Yield rose by 76 basis points (bps) as the market experienced significant sell pressures in the absence of fresh auction sales by the Central Bank of Nigeria (CBN). The market was thrown into a selling mood following the disinflation reversal as the statistic office adjusted to the global standard, causing heated arguments across BroadStreet. Inflation rose to 15.15%, still tracking below the return on naira assets, with analysts saying the monetary easing journey might be impacted ahead of the CBN’s policy committee meeting. Hence, activities across the OMO and Treasury…

Global Oil Oversupply Can Offset Output Uncertainty in Iran, Venezuela The geopolitical oil risk premium is likely to remain capped due to global market oversupply, despite increased oil-price volatility, Fitch Ratings says. Any possible supply disruptions in Iran can be absorbed by an oversupplied market. Potential short-term supply increases from Venezuela are likely to be small, while a more material rise in the long term would be quite challenging. OPEC’s future strategic stance on volume versus value will be important in shaping the oil market. “Our Brent price assumption for 2026 is USD 63/bbl, while our ratings for oil and…

First Holdco Gains 12.8% as Investors Tag Along with Otedola First Holdco Plc gained about 12.8% in the Nigerian stock market as investors sentiment improved ahead of the fourth quarter of 2025 earnings release. The non-operating company of First Bank has seen sustained re-rating after its chairman and other directors increased their stake in the final quarter of 2025. The directors’ actions have attracted investors seeking to tag along with expectations that the recapitalised financial institution would increase efforts to boost earnings performance. Trading actions have been reversed from the predominant volatility seen in 2025. The market witnessed a raft…

Afrinvest Questions Inflation Rate, Seeks Clarity on Reference Period One of Nigeria’s top-notch investment firms headquartered in Lagos, Afrinvest Limited, has raised questions about Nigeria’s headline inflation data released by the statistics office last week. MarketForces Africa reported that the investment firm had projected that the inflation rate for December would print at 33.6% on account of base effects and year-end spending. However, the inflation rate for the month was reported at 15.15%, a development that forced Afrinvest to ask the National Bureau of Statistics (NBS) where the figure comes from, citing the reference period used to prepare the previous…

NGX Swells as Re-Rated Companies’ Stocks Drive Momentum With as much as 60% weekly gain, some lightweight listed companies on the Nigerian Exchange (NGX) opened 2026 with a significant market value re-rating led by NCR, SCOA, Deap Capital and Jaiz Bank Plc among others. These top risers were not among the top market movers, but they were core drivers of the Nigerian Exchange’s (NGX) N2.58 trillion market capitalisation surge last week. The stock market maintained its positive trajectory in the third trading week of 2026, extending gains as investor sentiment strengthened markedly from the start of the year. The NGX…

Fitch Revises Benin’s Outlook to Positive, Affirms at ‘B+’ Fitch Ratings has revised the outlook on Benin’s long-term foreign-currency issuer default rating (IDR) to positive and affirmed the default rating at ‘B+’. The revision of the outlook reflects Benin’s strong economic growth prospects and the authorities’ commitment to a prudent fiscal stance, which supports a declining government debt/GDP trajectory over the medium term. Benin’s ‘B+’ issuer default rating also reflects a record of structural reforms, supporting gradual diversification of the economy, and a favourable debt composition. These strengths are set against weak structural indicators compared with peers, a relatively small…

Global Economic Outlook Improves Modestly, Remains Uncertain—Chief Economists The global economic outlook has improved modestly but remains uncertain, with asset valuations, mounting debt, geoeconomic realignment and rapid artificial intelligence deployment creating both opportunities and risks, according to the World Economic Forum’s latest Chief Economists’ Outlook, published today. Although 53% of chief economists expect global economic conditions to weaken in the year ahead, this marks a significant improvement from the 72% who held this view in September 2025. “The Chief Economists survey reveals three defining trends for 2026: surging AI investment and its implications for the global economy; debt approaching critical…

Nigerian Bonds Yield Drops on Inflation, Interest Rate Signal The Nigerian government bonds rallied in the secondary market as new inflation trend provides additional insight towards interest rate expectations in the first quarter. The benchmark yield reduced below 17%, indicating heightened confidence and robust demand from domestic investors in local currency fixed-income instruments. The statistics office reported that the headline inflation rate accelerated to 15.15% in December, a lower consumer price index figure in contrast to Broadstreet projections of an average of 30%. The figure is expected to be factored in spot rates pricing across primary market auctions. Analysts said…

Funding Costs Mixed as Banks’ Placements with CBN Increase Money market funding costs were mixed, as Nigerian deposit money banks’ (BMBs) placements with the Central Bank increased by 2% as the financial system stayed liquid. Market data showed lthe liquiditylevel climbed by 3% on the day in the absence of monetary action to reduce excess funding in the banking system. On Thursday, the financial system liquidity saw an improved surplus balance, opening the day with ₦2.13 trillion. This is a marginal improvement from previous day’s open of ₦2.07 trillion, driven by continued banks placements at the CBN’s Standing Deposit Facility…

NGX ASI Retreats as MTNN, ARADEL, NB Plc Trade in Red The Nigerian Exchange (NGX) All-Share Index (ASI) retreated as investors booked profit in MTN Nigeria, Aradel Holdings and Nigerian Breweries, among others. The Nigerian Exchange reversed its gains on Thursday, ending a 9-day winning streak into the New Year, with the All-Share Index declining 0.43% to 166,057.29 points. Market capitalisation dropped by ₦457.58 billion to ₦106.32 trillion due to sell pressure in bellwether stock amidst an inflation spike. Nigeria’s inflation reversed its 8-month trend, with the consumer price index racing to 15.15% from 14.45% in November. Market breadth was…