Author: Marketforces Africa

Euro Slides to $1.16 on EU Diplomatic Reaction to US Tariff The euro fell to $1.16, the lowest level in about a month, pressured by a modest rebound in the US dollar while the European Union seeks to close a trade deal with the United States. Today, the US dollar’s strength was supported by easing expectations of Fed rate cuts this year, following recent inflation. Boosting sentiment in the forex market, President Donald Trump has signaled he would not dismiss Fed Chair Jerome Powell for failing to cut fund rates despite threats. The market saw an increase in demand for…

British Pound Slides after Trump Refutes Fed Chair Removal The British pound traded around $1.339, near an eight-week low, mainly due to renewed strength in the US dollar as Washington allayed fear of Fed chair removal. The market saw an increase in demand for dollar while companies closed options previously hedged against the world dominant currency in the forex market. Dollar index (DXY) regained strength as investors’ sentiment fuel renewed interest in dollar positions. Hence, the dollar rose to a three-week high after former President Trump said he had no plans to fire Fed Chair Jerome Powell, despite criticizing the Fed for…

Burkina Faso Cashew Cultivation, Lever for Sustainable, Inclusive Development Launched in 2017 and completed in 2024, the Cashew Development Support Project in the Comoé Basin for REDD+ (PADA/REDD+) exemplified sustainable development. The project combined poverty reduction, ecological transition and the empowerment of women and young people, achieving a remarkable implementation rate of 95 percent. It has revitalised the cashew nut industry, Burkina Faso’s third largest agricultural export after cotton and sesame. The PADA/REDD+ project received support from the African Development Bank, which granted a loan of $4 million, and the African Development Fund, the Bank Group’s concessional funding window, with…

Oil Prices Jump Amidst Geopolitical Tensions, U.S Stockpile Falls Oil prices increased as US inventories rose amid escalating geopolitical tensions in the Middle East, bolstering concerns over potential supply disruptions and strong demand prospect. Price of international benchmark Brent crude rose by around 0.02%, trading at $68.05 per barrel, up slightly from $68.03 at the previous session’s close. Similarly, US benchmark West Texas Intermediate (WTI) crude increased by 0.09%, settling at $65.50 per barrel, compared to $65.44 in the prior session. The Counter-Terrorism Unit of the Kurdish Regional Government (KRG) announced Wednesday that 3 separate oil fields in the city…

Nigerian Exchange Hits New Highs as Investors Gain N1.44trn The Nigerian Exchange (NGX) market capitalisation soared on Wednesday as investors gained more than N1.44 trillion due to sustained bargain hunting across key indexes. All key indicators are trading at all-time highs as the domestic bourse resumed on a bullish note after the holiday. Data from the Exchange showed key market performance indicators advanced by 1.80% on Wednesday, and year-to-date return also advanced to 25.30%. The local bourse continued its bullish momentum from the previous sessions before the break, buoyed by increased buying interest in both mid and large cap stocks.…

Naira Drops Value Against Dollar as FX Demand Rises The naira value dropped against the US dollar at the foreign exchange market due to increased demand for US dollars at the official window. Data from the Central Bank of Nigeria (CBN) showed that spot fx rate was quoted at N1530.25 per greenback. Further details revealed that the transaction rate reached an intraday high of N1533 and briefly touched N1527 per dollar before it closed at N1531. The exchange rate depreciated amidst rising external reserves, which printed higher at $37.638 billion at the beginning of the week, according to CBN Update,…

MTN Nigeria Hits N400 Per Share in Equities Market MTN Nigeria Plc rallied in the equities market on Wednesday as the price surged to N400 per share for the first time since it became a publicly listed company. The telecommunication company’s share price had plunged sharply before the latest market recovery, boosted by anticipation of earnings growth. According to data from the Nigerian Exchange (NGX), the telecom company’s share price rose to N400, its fresh all-time high, after successively breaking out every line of resistance. The price surge on Wednesday followed a huge volume of the telco stock traded at…

Nigeria’s Headline Inflation Rate Declines to 22.22% Nigeria’s headline inflation rate declined to 22.22%, the latest data released on Wednesday by the National Bureau of Statistics (NBS) revealed. This marked the third consecutive disinflation following the consumer price index rebasing exercise. Headline inflation eased by 75 basis points (bps) to 22.22% year on year in June from 22.97% in the preceding month. On a month-on-month basis, consumer prices increased to 1.68% from 1.53% in May. Food inflation increased by 83 bps to 21.97% in June from 21.14%. On a month-on-month basis, food inflation rose by 107 bps to 3.25% versus…

Oil Prices Ease as Demand Slows, OPEC+ Output Rises Oil prices declined in the global commodity market on Wednesday amidst a slowdown in aggregate demand, with data showing the Organisation of Petroleum Exporting Countries and allies members (OPEC+) pumped more in June. The market also react to uncertainty over the US Federal Reserve’s (Fed) interest rate outlook, following the release of inflation data and expectations of steady global supply. Brent crude decreased by around 0.17%, trading at $68.17 per barrel, while the US benchmark West Texas Intermediate (WTI) crude decreased by 0.16%, settling at $65.55 per barrel, compared to $65.66…

Sterling Financial Holdings to Raise $400m Sterling Financial Holdings Plc’s market value rose to N323 billion in the Nigerian stock market as investors’ sentiment improved amidst plan to raise $400 million. The financial services company’s share price rose to N6.2 at the beginning of the week as 36.637 million units of Sterling Financial Holdings Plc valued at N234.523 million were transacted in the local bourse. At the current market value, the banking stock is trading at a moderate discount to its 52-week high on the Nigerian Exchange trading platform. At the annual general meeting last week, Sterling Financial Holdings Plc…