Author: Marketforces Africa

Private Sector Borrowings Increase by 4% in 12 Months—CBN The total amount borrowed by private sector players increased by 4% in 12 months, according to details obtained from the Central Bank of Nigeria’s (CBN) latest report. At the same time, the government has scaled back borrowing. The Apex Bank revealed that credit to the private sector (CPS) increased by 4.0% year on year to N76.14 trillion in June, up from NGN73.19 trillion in the equivalent period in 2024. Analysts at Cordros Capital Limited said they attribute the moderate growth to the diminished impact of currency depreciation on banks’ foreign-denominated assets,…

FGN Bond Yield Rises as DMO Plans to Increase Supply Trading activities in the secondary market for Federal Government of Nigeria (FGN) bonds closed on a mixed note, albeit with bearish performance as the Debt Office doubled down on supply. The Debt Management Office (DMO) has notified the market of its intention to increase bond offer size to N80 billion each for new and reopening borrowing instruments at the auction scheduled for next week. This is a sharp reversal from the recent past trend where N40 billion worth of reopening bonds were offered, though DMO increased allotments to investors at…

Oil Prices Decline after Trump-Putin Talks Oil prices declined as signals emerged from Friday’s meeting between US President Donald Trump and Russian President Vladimir Putin, with doubts over progress toward peace in Ukraine pressuring markets. Brent crude fell 0.03% to $65.75 a barrel, down from $65.77 at Thursday’s close. The US benchmark West Texas Intermediate (WTI) decreased 0.03% to $62.30 per barrel, compared to $62.32 in the previous session. Speaking at a press conference after the meeting, Trump said significant progress had been made, but no final agreement was reached. Putin expressed hope that the understanding reached with Trump would…

Sterling Plc Falls by 10% in Post Earnings Selloffs Sterling Financial Holdings Plc lost more than 10% of its market value as investors sell shares in the local bourse as sentiment declined after earnings release. According to data from the Nigerian Exchange (NGX), Sterling Plc share price inched lower to N7.50 as more than 20.658 million units valued at N156.359 million changed hands. The banking group lost 10.1796% of its market value week on week as sell side actors offloaded their shares in four out of trading sessions, dropping from N8.35 at the beginning of the trading. Hence, market value…

Oando Slips, Trades at 47% Discount to 52-Week High Oando Plc lost about 7% of its market value on the Nigerian Exchange (NGX) trading platform as investors took profit on the energy stock last week. The indigenous energy company’s share price closed at N52.15 in the local bourse, which is 47% below its highest value recorded in the last 52 weeks following a sharp price fluctuations. A slew of analysts maintained that Oando has strong growth potential but investors are looking for more to increase their positions instead of selloffs. Its share price had hit N98.4% having ranked as one…

Dollar Falls as Markets Weigh Bessent Comment on Fed Rates Dollar fell against its major trading partners due to weak economic data and market reactions to U.S Secretary comment about Federal Reserve rates cuts. The dollar slipped across the board on Friday, giving back a chunk of the gains following the release of United States consumer, producer price index report. Euro Gains 0.53% to $1.1705 on while British pound strengthened by 0.77% to $1.3555 at the close of trading session on Friday in the forex market – Up for two straight weeks. The DXY index fell by -0.41%, undercut by…

FirstHoldco Faces Tough Earnings Outlook, Plans to Sell Shares Privately First Holdco Plc faces a tough earnings outlook as analysts anticipate higher credit impairment charges – provisioning stemming from move to unwind forbearance exposure – to reduce the group net income in 2025. Equity investors are advised to switch to a neutral position on First Holdco as analysts at CardinalStone Securities Limited revised target price and adjustment to estimates. The financial services group has raised N147 billion via rights issue towards N500 billion recapitalisation requirement, analysts at CardinalStone Securities Limited revealed in their latest updates. The marina headquartered elephant…

Nigeria’s Bonny Light Crude Price Rises to $70.25 Nigeria’s Bonny Light crude oil surged to $70.25 per barrel this week due to increased demand from some trading partners despite bearish trading activities in the global commodity market. Bonny Light grade bucked the global downtrend, rising by 1.39% to close at $70.25 per barrel, supported by sustained demand from key export markets. Production output in Nigeria has increased due to increased investment and a significant decline in oil theft. Crude oil prices retreated sharply over the week, with Brent crude down 0.62% to $66.40 per barrel and the US benchmark WTI…

CBN Sells $166m to Banks, FX Forward Contracts Depreciate The naira remains on Central Bank of Nigeria’s (CBN) live support, with the authority selling $166 million to authorised dealer banks to stem overflow of US dollar demand at the official window in the week The Nigerian FX market had a mixed yet relatively stable week, influenced by intermittent CBN FX interventions and fluctuations in dollar liquidity. The official FX spot rate settled at N1532.51 on Friday, gaining less than N1 week-on-week from N1533.56 at the beginning of the week. The CBN sold about $166 million during the week, with the…

Banks Borrowings Increase as CBN FX Settlement Gulps Liquidity The Central Bank of Nigeria (CBN) FX debit gulped the financial system liquidity, with banks borrowing intensity driving the short-term benchmark interest to double digits high in the money market. Interbank rates inched higher, according to market data obtained from the FMDQ platform in the absence of inflows to upturn liquidity squeezed in the banking system. The financial system dipped to negative territory as the CBN removed naira value of US dollar sold to deposit money banks in an already tight liquidity conditions. Specifically, the financial system was debited with N153…