Author: Marketforces Africa

The average yield on Nigerian government bonds cleared at 19.73% over subdued trading activities in the secondary market.

MRS Reduces Petrol Price to N935/Litre Nationwide MRS Oil Nigeria Plc, a prominent player in the Nigerian downstream oil industry, has implemented a new petrol price of N935 per litre across all its retail service stations nationwide. This follows an announcement by the President of Dangote Industries Limited, Aliko Dangote, that the Dangote Petroleum Refinery has partnered with MRS Oil and Gas to offer petrol at N935 per litre at retail outlets, following a reduction in the ex-depot price from N970 to N899.50 per litre. In response, MRS Oil Nigeria Plc has instructed all its outlets to implement the new…

Naira Rises as Gross External Reserves Hits 3-Year High The Nigerian naira rose against the U.S dollar in the foreign exchange (FX) market on Monday as gross external reserves balance hit 36-month high. According to spot data on FMDQ platform, the naira appreciated by 14 basis points to close at N1,539.55 per US dollar at the Nigerian foreign exchange market. The positive trend followed FX intervention sales conducted by the Central Bank (CBN), keeping exchange rate steady against the dominant U.S dollar. The forex market showed a certain level of stability, with improved liquidity observed. Analysts said FX transactions were…

Oil prices climbed in the global commodities market on Monday on lower than expected inflation data while the U.S. dollar eased.

US Dollar Falls Against Major Currencies The US dollar fell against its major trading partners early Monday, except for an increase versus the loonie or Canadian dollar, to start off a quiet week that will be broken up by the Christmas holiday on Wednesday. A quick summary of foreign exchange activity heading into Monday showed that USDEUR rose to 1.0397 from 1.0361 at the Friday US close but was below a level of 1.0403 at the same time Friday morning. There are no Eurozone data on Monday’s schedule. The next European Central Bank meeting is scheduled for Jan. 30. GBPUSD…

CBN Defends Naira, Sells Dollars to Banks 4 Times The Central Bank of Nigeria (CBN) became aggressive in its forex market sales to authorised dealer banks to ensure enough liquidity in the currency market. FX market analysts who are familiar with the naira rate movement said, “You cannot imagine exchange rate direction without the CBN support that lasted for four days.”. The authority sold about $198 million to authorised dealer banks to continue to boost FX liquidity and defend the naira to meet its year-end target. MarketForces Africa reported that the Apex Bank sold $124.6 million to dealers in the…

Interbank rates soared in the money market on the back of an extended liquidity deficit pattern in the banking sector. The short-term benchmark interest rates settled at double digits high due to a liquidity shortfall in the money market last week.

Sell Down: Dangote Sugar Trades at 64% Discount to 52-Week Despite the Santa Claus rally in the local bourse, sell pressures on Dangote Sugar Refinery Plc intensified last week in the equities market as investors maintained their bearish mood. This plunged the market value of Dangote Sugar to N394.773 billion, about a 64% decline from its 62-week high as a result of investors exiting their positions. According to data from the Nigerian Exchange, Dangote Sugar Refinery Plc opened the week at N35 but closed at N32.50 on Friday in the equities market on the back of persistent sell pressure. The…

NAHCO Gains 22% as Earnings Expectation Boosts Investors Sentiment Nigerian Aviation Handling Company, NAHCO Plc’s market value increased by about 22% due to increased demand for Transportation Services Company’s stock in the equities market. According to trading data from the Nigerian Exchange (NGX), Ticker: NAHCO market price increased by exactly 21.6% to N46.1 over five trading sessions ended on Friday in the local bourse, from the opening price of N37.9. The aviation handling company share gained traction in the equities market for four out of five trading sessions due to strong volumes transacted by alpha seekers. The four days rally…

UAC of Nigeria Hits 52-week High on Successive Rally Diversified conglomerate company, UAC of Nigeria Plc, share price increased steeply as investors increased bet on the company stocks in the equities market. Due to successive rally, the market price of Ticker: UACN settled at N30.25 in the stock market, up by 26.3% week on week as investors’ shifted their attention to companies with strong earnings diversification. According to data from the Nigerian Exchange, the stock positive price movement lifted UAC of Nigeria Plc market value to N88.515 billion on Friday. Stock data showed the volume transacted were heavy, range from…