Author: Marketforces Africa

Nigeria Treasury Bills Yield Shrinks 2bps to 25.6% The average yield on Nigerian Treasury bill shrank by 2 basis points to 25.6% in the secondary market due to selling rally. Banks have been offloading their interest in money market instruments on the back of tight liquidity in the financial system. The Treasury Bills market saw a bearish theme in the mid-to-long end of the yield curve, traders said in separate notes. AIICO Capital Limited told investors that offers were primarily observed for the May, October, November, and December 2025 securities, with very little demand to match. However, a few trades…

Oil Prices Rebound on U.S, China Demand Expectations Oil prices edged higher on Thursday on a positive demand outlook in China and the U.S., the world’s two largest oil consumers. Brent climbed to $72.64 per barrel on Thursday while the US benchmark West Texas Intermediate also increased to $69.49 per barrel. On Wednesday, crude oil prices edged lower, with WTI closing below $70 per barrel while ICE Brent settled below $73 per barrel. The oil market witnessed a second straight session of decline as the strengthening dollar weighs on the complex. Brent has shed more than 5% so far this year,…

The Federal Government has unveiled a free Artificial Intelligence (AI) Academy with the aim of positioning Nigeria as a leader in the global digital economy. The Minister of Innovation, Science and Technology, Chief Uche Nnaji, who inaugurated the AI Academy on Thursday in Abuja, said the programme was set up in partnership with the Commonwealth Secretariat and Intel Corporation.

The average yield on Nigeria’s Eurobond rose as foreign portfolio investors (FPIs) liquidated positions amidst U.S. interest rate cuts. The risk-off reactions followed sustained monetary easing in the U.S. amidst expectations that a rate cut would cause a flight to safety in 2025.

Liquidity Deficit in Banking System Keeps Interbank Rates Elevated The liquidity deficit in the banking system kept the short-term benchmark interest rates elevated in the money market. Data revealed that the liquidity shortfall has reduced on Thursday as inflows from Federal Allocation Committee credit hit the financial system. While the banking system liquidity improved, the money market ended the day negative with more than N700 billion in deficit. As a result, interbank rates remained elevated, with the Overnight Policy Rate (OPR) recording a 16 basis point increase on the day to settle at 32.29%. Data from the FMDQ platform also…

Nigerian Exchange Swells as Investors Gain N467bn The equities market capitalisation of the Nigerian Exchange (NGX) swelled by more than N467 billion on the Santa Claus rally. The local bourse has been on gaining streaks for seven trading session ahead of the Christmas celebration. The local bourse ended trading session on a bullish note, extending its positive trend to Thursday as demand for value stocks gained momentum. Stockbrokers said in their separate reports that key performance indicators surged by 0.77% on a positive December trading outing. Market data shows that the Nigerian Exchange All-Share Index grew by 770.56 basis points…

Congo’s default on its local-currency regional market debt in October 2024….

The global commodities market saw a decline in oil prices as the US dollar rose above its two-year high following the Fed’s rate cut.  Brent declined around $72 per barrel while US WTI plunged below $69 per barrel as dollar gain overshadowed 25 basis points Fed funds rates cut.

U.S Fed Cuts Benchmark Interest Rate by 25bp The US Federal Reserve slashed the benchmark interest rate by 25 basis points in the final moments of its two-day meeting Tuesday and Wednesday. Fed Chair Jerome Powell said that the Fed will be more cautious moving on and that more progress on inflation is needed for further cuts. U.S central bank has now trimmed interest rates by 100 basis point since they started cutting rates in September. The dovish shift by the Fed a few months ago was triggered by concerns about the jobs market. Powell said the risks to the…

Shell Nigeria Awards $900m Offshore Contract to Saipem Saipem, in consortium with KOA Oil & Gas and AVEON Offshore, has been awarded a new offshore contract by Shell Nigeria Exploration and Production Company Limited (SNEPCo) for the Bonga North Project. An official statement obtained states that the deal is relevant to the development of a deepwater oil field, 130 km off the coast of Nigeria. The overall value of the contract is about 1 billion USD and Saipem’s share amounts to approximately 900 million USD, an official statement reads. The project is related to the tieback of wells to the…