Saturday, February 3, 2018 08:00 AM / Proshare
From the Editor’s Desk
The January manufacturing index’s for the month of January bumped slightly from 59.3 in December to 57.3 in January, nevertheless the PMI remained within the expansionary territory as it beat the fifty (50) expansion threshold, thereby reflecting 10 months of successive expansion in PMI; as the leading indicator guide the cycle within positive territory.
Fig 1: Purchasing manufacturing index’s
Though the indicator has both experienced and maintained substantial expansion compared to both January and June 2017. Sub-sects such as quantity of purchases, the backlog of work, new export orders and stock of finished goods have continued to suffer from waterboarding as they remain below the expansion threshold. More importantly, the surge in quantity purchase in the month of December fizzled out as it returned back to negative territory in January 2018.
The impressive showing in PMI in December was supported heavily by expansion in quantity purchase; the expansion in quantity purchase was stirred by seasonality effect. Output prices remain within expansionary territory but compared to the June and January, there has been a deceleration in the expansion in the changes in producer prices. The deceleration is due to a more favourable exchange rate condition coupled with an inward-seeking approach towards intermediate goods by firms.
Fig 2: A Peer to Peer Comparison of PMI
The reduction in the volatility in intermediate goods has rubbed positively on both production levels and raw material inventory compare to the earlier periods of January and June 2017. Holistically, the knock on effect has been responsible for the successive expansion in PMI.
The Monetary policy committee is caught between two arms, apart from the fact that the political imbroglio dents the reputation of the central bank. The imbroglio denies the monetary policy the ability to switch further from just policy goals such as inflation and growth but to intermediate targets such as broad money and narrow money target.
Thus leaving the market unguided without a proper grasp of intermediate targets, which ends up threatening policy goal. There is a need for the political circle to understand that the growing mismanagement of the unknown unknowns makes it harder to provide the proper precondition for growth, unfortunately the growing cost of this management is becoming more and more unbearable. A cursory look at the nation’s human indexes reinforces such position.
Monday, February 5, 2018
A special edition of the Town Hall Meeting for the Military and Other Security Agencies will hold today in Maduguri.
Tuesday, February 6, 2018
The National Bureau of Statistics will release its Telecoms Data for Q4 2017, while the Online Publishers Association of Nigeria Conference will hold today in Lagos.
The 15th CVL Annual Lecture & International Leadership Symposium #CVLAL2018 themed: “Leadership and Performance in Africa - The Challenge of the Continent's Economic Competitiveness” will hold today in Lagos, while the CSCS unveils its 3-year strategic plan for 2018 – 2020.
The official launch of the Community Health Influencers, Promoters and Services Programme will hold today in Nassarawa.
Wednesday, February 7, 2018
The Agri Social Media Week 2018 organised by Corporate Farmers International and International Institute of Tropical Agriculture (IITA), will commence today in Lagos, while McNicholas Consolidated Plc holds its Annual General Meeting.
Meristem Research’s training on “Business Valuation: Understanding the Basics, Exploring the Blurred” will commence today in Lagos.
Thursday, February 8, 2018
The Law Firm Summit 2018, Nigeria's premier business development conference for law firms is scheduled to hold today in Lagos.
An Information Session of Ideas for Action Africa hosted by World Bank and the University of Lagos (Lagos) will hold today in Lagos.
Friday, February 9, 2018
The Director General of National Agency for the Prohibition of Trafficking in Persons (NAPTIP), Dame Julie Okah Donli will today host the Micro Influencers Dialogue in Lagos.
Saturday, February 10, 2018
The National Bureau of Statistics will today release the Nigerian Capital Importation for Q4 2017.
The Deloitte School of Tax commences today while the Access Bank powered Lagos Marathon (#RunLagos) will hold today.
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