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Sunday,
November 18, 2018 08:00 AM / Proshare Content
Nigeria:
Economic Dashboard @ 191118
From the
Editor’s Desk
Source: ARM
Weekly Economic & Financial Commentary
Global Economy
In the U.S, CPI data released for the month of October showed that
inflation rate came in stronger during the month, rising 2.5% YoY from 2.3%YoY
in the prior month. The uptick was largely driven by higher energy and housing
cost. However, the CPI less volatile components (i.e food & energy)
moderated to 2.1% YoY (vs September: 2.2% YoY). In Asia, preliminary estimates
of Japan’s GDP revealed the economy contracted by 1.2% YoY for the third
quarter of 2018. The numbers reflects the natural disasters which struck the economy
during the summer, dragging both the domestic demand and country’s exports.
Elsewhere, in sync with the preliminary estimates released in October, the Euro
Zone economy grew at its slowest pace in four years in the third quarter of
2018 by 1.7%. The contraction stemmed largely from growth slowdown in Germany,
France and Italy.
Domestic
Economy
The FG completed its $2.86 billion (N856.8 billion) Eurobond issuance on
Wednesday, taking the country’s total Eurobond issuance for the year to $5.3
billion. The amount raised will be used to fund 2018 capital expenditure which
runs exactly one year from the approval of the budget. The offer is made up of
a $1.18 billion (7-Yr), $1 billion (12-Yr), and $750 million (30-Yr) priced at
respective rates of 7.625%, 8.75% and 9.25%. Though, the issuance was
oversubscribed, the issue appears expensive when compared to February 2018
Eurobond Issuance. We think the higher
pricing reflects ongoing EM risk off emanating from the recent spate of
interest rate hikes in the US (2%-2.25%) – that have resulted in higher US
treasury yields (10-year: +70bps Ytd to 3.1%), the ongoing trade spat between
US and China and the recent currency bouts faced by major EM economies earlier
in the year.
Equities
The Nigeria equity market closed negative with the All Share Index
moderating by 0.44% WoW to close the week at 32,058.28 pts. The negative
performance was spurred by sell pressure in Nestle (-9.99%), Access (-9.92%)
and Oando (-9.69%). Dissecting the sectoral performance, the Food, Personal
Care, Insurance and Oil & Gas recorded gains during the week, as opposed to
the Banking, Brewers, Cement, Construction and Real Estate sectors that closed
negative.
Fixed
Income
Activities in the fixed income market remained largely bearish, with
average yields expanding 10bps WoW to 15.03%. The upswing in the naira yield
curve was driven by elevation at the short and long ends of the curve. On the
former, NTB yields which had been on the rise for most part of the week, was
further magnified by liquidity tightening by the CBN from the sale of OMO (N468
billion) on Thursday. Bond yields towed similar path, rising 3bps WoW to 15.42%
due to sell off at the long end of the curve.
Weekly
News
Post: Nigerian
Banks’ Performance – H1 2018
Other Developments
The National Bureau of Statistics will on this day release the Daily Energy Generated and Distributed in Q3 2018 while First City Monument Bank will same day hold its training on taxation for Women in Entrepreneurship Day
The Central
Bank of Nigeria
will on this day hold its Monetary Policy Committee Meeting in
Abuja while the FMDQ
Housing Summit holds same day by 9am,
FMDQ Office Victoria Island
France will on this day release its 12, 6 and 3 months BTF Auction while the United State of America will release the NAHB Housing Market Index November
Tuesday, November 20, 2018
UACN Property Development Company Plc will on this day hold its Annual General Meeting at Arthur Mbanefo Hall, Golden Tulip Festac Lagos.
The National Bureau of Statistics will on this day release the Automobile Gas Oil and Liquefied Petroleum Gas Report October 2018
The Central Bank of Nigeria will on this
day hold its Monetary Policy Meeting on the Lunch of Former President
Goodluck Jonathan while the VOW2018 /Conference
& Awards will hold same
day with the theme Women Beyond
Barriers Accountability & Governance at Sheraton Hotel Abuja.
Wednesday, November 21, 2018
The National Bureau of Statistics will on this day release the CPI and Inflation Report October 2018
The Caritas Reputation Leadership Roundtable/Book Presentation will hold this day with the theme Ethics, Reputation & Technology in a VUCA Economy in Radisson Blu, Victoria Island Lagos.
The 4th Nigeria Tourism Investor Forum & Exhibition is scheduled to hold this day at Sheraton Abuja Hotel and Towers while the West African Leadership Summit holds same day at Lagos Oriental Hotel.
SME FAST
TRACK 2018 is scheduled to hold
this day with the theme Woman in Business
Challenges & Opportunities at D’podium
International Convention Centre” 31b Aromire Ave, Ikeja, Lagos
Thursday, November 22, 2018
Corporate Farmers-Financing Agric
Commodity Value Chain Workshop will hold this day
at the The NSE Event Centre 20th Floor, Stock
Exchange House 2-4 Customs Street, Lagos while The Investment Committee of ACAP will hold same
day with a focus on Canary Growth Fund and ACAP Income Fund in Ikoyi, Lagos
Friday November 23, 2018
The National
Bureau of Statistics will on this day
release the Selected Food Prices and Transport Fare Watch for October 2018 while the
Eurozone
will release the Manufacturing Purchasing Manager Index for November 2018
Saturday November 24, 2018
Wiscar to Hold its
2018 Annual Leadership and Mentoring Conference
this day with the theme Enriching Lives By
Telling Our Own Stories at Muson Center, Onikan, Lagos while the International Summit
of Leader Award 2018 holds same day with the theme Ending Youth Slavery
& Economic Development in Africa at University Of Lagos Akoka-Yaba
Lagos
Sunday November 25, 2018
The Pearl
Awards Nigeria 2018 is scheduled to hold this day with the theme Sustaining the winning Edge at Convention Centre Eko
Hotel & Suits, Victoria Island, Lagos
Check out our
Events Calendar
for event details and follow us on Web, TV,
APP
and Social
Media for updates as the week unfolds. Yours to Serve!
Contact
for Details:
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