Author: Marketforces Africa

UK VC Funding Deal Value Down by 12% in H1 2025 – GlobalData The venture capital (VC) funding landscape in the UK has encountered a significant downturn in the first half (H1) of 2025 with a decline in both VC deal volume and value compared to the same period in H1 2024. The UK saw a decrease of around 14% in VC deal volume in H1 2025 compared to H1 2024, while there was a year-on-year decline of around 12% in corresponding deal value, according to GlobalData, a leading data and analytics company. Aurojyoti Bose, Lead Analyst at GlobalData, comments:…

European Automakers’ Margins Stressed by Tariffs, Chinese Competition—Fitch European automakers’ profitability will decline in 2025 due to tariff-related disruptions and challenging conditions in China, Fitch Ratings says. The electric vehicle (EV) transition will accelerate in 2025 and 2026, diluting profit margins. Most investment-grade manufacturers have sufficient rating headroom to absorb these pressures, supported by strong capital structures. Fitch expects the US tariff announcements to have negative implications for automotive production and sales, prompting automakers to rapidly restructure their manufacturing footprints and optimise fixed costs. Increasing raw material prices and cost pressures from suppliers will further intensify profitability challenges. This is…

Oil Prices Climb Amidst U.S Fed Rate Cut Expectations In the global commodity market, prices of crude oil climbed on Tuesday amidst growing expectations that the US Federal Reserve may cut interest rates in September, amid signs of a softening labour market in the United States. International benchmark Brent crude was trading at $69.48 per barrel, up 0.30% from the previous session’s close of $69.27. The American benchmark West Texas Intermediate (WTI) crude rose 1.86% to $66.77 per barrel, from $65.55 in the previous session. Markets were buoyed by comments from San Francisco Fed President Mary Daly, who said the…

Dangote Cement Hits 52-Week High, Value Nears N10trn Dangote Cement Plc share price hit its highest level in the last 52 weeks, according to trading details from the Nigerian Exchange (NGX) platform. The stock surged by 9.22% to N577 in the equity market at the beginning of the week as the cement company’s earnings boosted investors’ sentiment. Dangote Cement Plc’s share price increased as investors transacted 2.904 million units valued at N1.583 billion in the local bourse. The market now valued the cement company’s 16.873 billion shares outstanding at N9.736 trillion, its highest market capitalization in 52 weeks. In the…

Money Market Rates Mixed, Banks Actions Reduce Liquidity Money market rates moved in different directions, reflecting different impacts of liquidity movement on key indicators. The repurchase rate has hit its floor level, failing to react to the surplus liquidity balance, but overnight lending has continued to swing. The amount of reserves held by commercial banks over and above the Central Bank’s (CBN) minimum reserve requirements settled at N1.21 trillion, which represents a slide from N1.606 trillion previously reported by MarketForces Africa, as per data from AIICO Capital Limited. The amount in the financial system fell by ₦397.6 billion lower than the…

Naira Gains as Nigeria’s External Reserves Hit 6-Month High The naira gained against the US dollar at the Central Bank of Nigeria (CBN) foreign exchange market amidst declining FX inflows. According to data from the CBN, the spot rate rose to N1531.95 per dollar in the absence of fx pressures from N1533.74 at the previous close. Latest FX update from the monetary authority revealed external reserves climbed to a six-month high following sustained inflows across sources. With sustained inflows, the nation’s gross external reserves balance printed at $39.543 billion as of August 1, according to the CBN. The surge followed…

Nigerian Exchange Surpassed N91trn as BUA, Dangote Rally The Nigerian Exchange (NGX) broke N91 trillion in market capitalisation at the beginning of the week as bargain hunting activities increased. The stock market commenced the week on a positive note, as key performance indicators appreciated by 1.99%. The NGX year-to-date return advanced to 40%, staying ahead of the annual inflation rate of 22.22%. Stockbrokers said the uptrend was fuelled by sustained buying interest in large and moderately priced, fundamentally strong stocks. Top market influencers that boosted market capitalisation strongly include BUAFOODS, DANGCEM, CHAMPIONS, and 44 others across major market sectors. Investors’…

Russia to Cooperate with South to Counter U.S. sanctions Russia is ready to step up cooperation with the Global South and BRICS to counter the illegal U.S. sanctions pressure, Russian Foreign Ministry spokeswoman Maria Zakharova said on Monday. “Nevertheless, we believe that no tariff wars and sanctions can alter the inevitable course of history. We have a vast network of partners, like-minded people, and allies within the Global South, particularly among BRICS countries, who share this perspective. “We are ready to step up cooperation with them to counteract illegal unilateral sanctions and to establish a truly multilateral, just, and equitable…

Nigeria Stock Market to GDP Ratio Soars to 24% The Nigerian stock market as a proportion of its gross domestic output has inched higher to 24%, thanks to persistent monster rallies in the local bourse. At the close of the trading session on Friday, the Nigerian Exchange (NGX) market capitalisation printed at N89.37 trillion, with about a 40% year-to-date gain.  The ratio reflects investors confidence in the local economy amidst expectations that the growth outlook will be bolstered by reforms and some economic adjustments that have been initiated thus far. The ratio, which is far less than one, suggests the…

Nigerian Bonds Yields Rise as Investors Sell Down after Auction The Nigerian bonds yields surged across tenors as investors started to offload positions after spot rates declined at the main auction for July. Last week, the Nigerian secondary FGN bond market witnessed renewed bearish sentiment, as a wave of sell-offs across the yield curve drove the average yield higher by 15 basis points to 16.35%. The pressure reflected cautious investor positioning amid changing expectations for local interest rate dynamics and limited primary market support. Offers improved on the back of higher-than-expected auction issuance. Profit-taking activities from traders and subdued demand…