March 2, 2018/InvestmentOne Report
Please click to download the Weekly Report for the week ending Friday 2nd March 2018
Global Economy
At the tail end of the week, the President of the United States of America (USA) announced plans to implement tariffs on the imported steel and aluminum, a reminder of President Trump’s anti-globalization stance.
Nigerian Economy
The country received positive news flow as the Nigerian Bureau of Statistics (NBS) released the GDP report for Q4 2017 during the week. GDP grew by+1.93% y/y in Q4 2017 and +0.83% y/y for full year 2017. The NBS also released the Q4 2017 & FY 2017 Capital Importation report, which showed that the total capital imported in Q4 2017 was US$5.38 billion, representing a +248% y/y and c.+30% q/q jump.
Equities Market
The Nigerian equities market closed positive this week as ASI advanced by +0.72% week on week (w/w). The market closed positive in three out of the five trading days with a significant daily gain of +2.44% occurring on Wednesday. As a result, market capitalization closed at N15.40 trillion.
Money Market
Week-on-week, O/N and OBB rates declined by -242bps and-175bps to close at 10.00% and 9.75% respectively despite CBNâs sales of N526bn worth of OMO bills during the week. This may not be unconnected with the improvement in system liquidity which was largely driven by the maturity of N109bn worth of OMO bills, refund of failed FX bids as well as spill over demand from last week’s Wednesday NTB’s auction.
Bond Market
In the outgone week, activities were mixed in the bond market as the market was relatively quiet for the most part of the week.
Foreign Exchange Market
The NGN gained +0.85% against the USD to close at N305.85 in the outgone week in the interbank market.
The Week Ahead
United States
There will be a 3-month and 6month bill auction on 5th of March 2018.
There will be a 4-week bill auction on the 6th of March 2018.
The United States Census Bureau will release Balance of trade for January on the 7th of March 2018.
The United States Census Bureau will also release Unemployment rate for February on the 9th of March 2018.
United Kingdom
The office for national statistics will release Balance of trade for January on the 9th of March 2018.
Japan
The Statistics bureau of japan will release the GDP growth rate for Q4 2017 on the 8th of March 2018.
China
The National Bureau of Statistics of China will also release Balance of trade for February 2018 on the 8th of March 2018.
The National Bureau of Statistics of China will release inflation rate for February on the 9th of March 2018.
