Skip to main content

MAW BUSINESS UPDATE

MAW BUSINESS UPDATE


 Nigeria’s  Manufacturing PMI Declines To 42.4


The May 2020 PMI survey conducted by the Statistics Department of the Central Bank of Nigeria, revealed that the manufacturing and non-manufacturing sectors of the economy contracted in May, although no data was provided for the month of April, data reflects the effect of the lockdown on the economy to curtail the spread of the virus.

The Manufacturing PMI declined from 51.1 in March to 42.4, indicating a contraction in the manufacturing sector, the lowest level since September 2016.
The composite PMI for the non-manufacturing sector stood at 25.3 in May, down from 49.2 in March, the lowest level since 2014. 


*Stock Market - YTD Performance -6.80%*
The NSE ASI depreciated during the week as profit-taking weighed on overall performance with a depreciation of 1.00% week-on-week. Bellwether stocks such as GUINNESS, UBN, STANBIC, etc. lost -8.50%, -8.21%, -7.26% respectively.

The NSE ASI and market capitalization now stand at 25,016.30bps and 13.050 trillion, respectively. This brought the year-to-date figure of the ASI down to -6.80% from -5.86% last week. The bearish performance recorded during the week was anchored by in the Industrial Sector which lost -3.14%.







FIXED INCOME
TREASURY BILLS
The Treasury Bills market started the week on a relatively quiet note with minimal activity witnessed across board on the back of the unattractive yields. The T-bills market ended the week bearish as average yields rose 101bps week-on-week to 3.2%.



BONDS

The Bond market started the week on a relatively quiet note as market participants traded with caution ahead of the MPC meeting. The market returned bullish on 2 of 3 trading sessions following improved liquidity, hence average yield declined 32bps week-on-week to 10.1%.




EUROBONDS

The Nigeria Eurobond market performance was bullish as average yields declined c.50bps to 7.7%. The 2021 and 2025 instruments saw the biggest weekly drop in yields declining 162bps and 121bps respectively. The Corporate Eurobonds that we track mirrored the Nigerian Eurobond market as average yields declined 105bps week-on-week to 7.6%.  





MARKET TREND

A market trend is a perceived tendency for financial markets to move in a certain direction over time. ‘A bull thrusts its horns up into the air, while a bear swipes its paws downward’ are metaphors for the movement of a market.

A bull market is the condition of a financial market in which prices are rising or are expected to rise, characterized by optimism, investor confidence and expectations that strong results should continue for an extended period.

Conversely, a bear market is when a market experiences prolonged price decline amid widespread pessimism and negative investor sentiment. Bear markets also may accompany general economic downturns such as a recession.

Comments

Post a Comment

Popular posts from this blog

N-Power: FG extends Batch C enrolment Aug 8

FG extends Batch C N-Power enrollment to August 8 Add caption The Federal Government says the enrolment for Batch C scheme of the N-Power Programme which started on June 26 will now close on August 8. Minister of Humanitarian Affairs, Disaster Management and Social Development, Sadiya Umar-Farouq, who disclosed this via  Twitter on Sunday night, said over 5 million applications have been received for the scheme. The Federal Government plans to enrol 400,000 applicants in the Batch C scheme. Batches A and B of the programme who are about to exit the programme held a rally at the National Assembly Complex last week, requesting FG to employ them as well as pay them a grant of N600,000 each. Providing an update on the development, the minister said on Sunday, “I received the news of a protest at the National Assembly by N-Power Batch A and B beneficiaries who presented a list of demands which we are reviewing and will address as practically possible. “Let me reiterate that th...
Post a Comment
Read more

FG SURVIVAL FUND TO COMMENCE REGISTRATION FEBRUARY 9TH

MSMEs SURVIVAL FUND TO COMMENCE REGISTRATION FOR GUARANTEED OFF-TAKE STIMULUS SCHEME & GENERAL MSME GRANT     100,000 Nigerians to benefit from one-off N50,000 MSME grant  The chairman of the Steering Committee of the MSMEs Survival Fund and guaranteed Off-take Stimulus Scheme and Honourable Minister of State, Federal Ministry of Industry, Trade and Investment, Amb. Mariam Y. Katagum, has announced the commencement of the Guaranteed Off-take Stimulus Scheme and the MSME Grant portal opening from February, 9th, 2021.  The Guaranteed Off-take Stimulus Scheme according to Amb. Katagum is aimed at protecting and sustaining the incomes of vulnerable Micro and Small Enterprises by guaranteeing the offtake of their products.   According to her, a total of 100,000 Micro and Small Enterprises are to benefit from the scheme.   The total target national number of beneficiaries is 100,000. The breakdown is as follows: Lagos, 3,880; Kano, 3,280; Abia, 3,080; while t...
Post a Comment
Read more

PRESIDENT BUHARI RECEIVES MADAGASCAN COVID-19 HERBAL “DRUG” FROM GUINEA BISSAU’S PRESIDENT EMBALO

PRESIDENT BUHARI RECEIVES MADAGASCAN COVID-19 HERBAL “DRUG” FROM GUINEA BISSAU’S PRESIDENT EMBALO President Muhammadu Buhari Saturday at the State House, Abuja, received the Madagascan native formulation against the Covid-19 pandemic, and reiterated that he will listen to science before allowing traditional or any new medicines to be administered on Nigerians. At an audience meeting with President Umaro Sissoco Embalo of Guinea Bissau who brought along with him the samples of the traditional medicine as shared to African nations by Madagascar, President Buhari said his position on all such herbal or traditional medicinal postulates had remained the same. “We have our institutions, systems and processes in the country. Any such formulations should be sent to them for verification. I will not put it to use without the endorsement of our institutions,” said the Nigerian President. On the main reason for his visit, President Embalo said having stabilized his country after the tus...
Post a Comment
Read more