Finance Friday- Nigeria’s Digital & Mining Push Meets Tight Liquidity as Global Inflation and Trade Shifts Drive Market Caution
Ranora Daily - Your daily source for reliable market analysis and news.
Market Overview
Good evening and welcome to today’s market kick-off, Where Nigeria’s corporate sector is accelerating digital innovation and mining expansion, even as a ₦1.91 trillion NTB settlement tightens system liquidity and lifts short-term rates. Support from the African Development Bank is set to strengthen agricultural productivity and youth participation. Globally, easing inflation and evolving trade and energy dynamics are influencing capital flows and overall market sentiment.
Nigerian News & Market Update
Chams sets up subsidiary for digital, AI growth:
Chams Holdings Plc launches ChamsCorp Plc to expand into digital device manufacturing, AI infrastructure, and intelligent systems, appointing Mohammed Yunusa as Chairman and Dr Olufemi Oyenuga as CEO. - Punch
Japaul Gold & Ventures eyes commercial mining in May:
Japaul Gold & Ventures Plc begins test runs of its pilot gold processing plant and plans to start commercial mining at the Libeli Mine in May 2026, aiming to scale production with a larger facility later in the year. - Punch
NTB Settlement Drags Banking System liquidity, Rates Mixed:
Liquidity in Nigeria’s banking system tightened following a ₦1.91 trillion outflow for Treasury bill (NTB) allotments, pushing overnight rates higher while secondary market yields for NTBs and OMO securities showed modest declines. - Dmarketforces
AfDB Approves $200m Loan to Boost Nigeria’s Agricultural Productivity:
AfDB approves $200 million loan to Nigeria to enhance agricultural productivity, climate-smart farming, and youth participation. - Dmarketforces
Nigeria Sectoral Indices Performance
The table below shows that the Nigerian equities remain broadly bullish, with strong YTD gains across all indices, led by Oil & Gas (+52.7%), Lotus (+43.9%), and Premium Board (+40.6%). Momentum is strongest in cyclical sectors: Oil & Gas, Consumer Goods, and Industrial Goods dominate MTD and QTD performance, signaling sustained risk-on sentiment. Banks and the broad market (NSE ASI) are also solidly positive, confirming that the rally is market-wide rather than isolated.
Fixed Income (FGN Bonds)
Global News & Market Update
LME announces new fees for listing of brands:
The London Metal Exchange has introduced new fees, including a $6,250 one-time charge for brand listings and a $1,000 annual fee, with certain fee waivers for electronic order crossings on LMEselect. - Reuters
Hungary to release 1.8 million barrels of crude oil from strategic reserves:
Hungary will release 1.8 million barrels of crude from strategic reserves to mitigate supply disruptions after a Druzhba pipeline outage. - Reuters
Australia’s Santos signs gas supply agreement for Whyalla Steelworks:
Australia’s Santos signs a 10-year agreement to supply 20 PJ of gas annually to transform Whyalla Steelworks into a low-emissions green iron facility. - Reuters
Indonesia secures 19% tariff deal with US, palm oil and other commodities exempt:
Indonesia and the U.S. agree to cut tariffs to 19%, exempting palm oil and key commodities, while facilitating U.S. investment in Indonesian critical minerals. - Reuters
Hong Kong’s November-January unemployment rises to 3.9%:
Hong Kong’s unemployment rate rose slightly to 3.9% from 3.8%, with the insurance, construction, and finance sectors seeing the biggest job losses. - Reuters
German producer prices fall 3% y/y in January:
German producer prices fell by 3% year-on-year in January, exceeding analysts’ expectations of a 2.1% decline. This indicates continued price pressures easing in Germany’s industrial sector. - Reuters
IMF to release new US economic policy prescriptions next week:
The IMF will release its annual review of U.S. economic policies on February 25, assessing fiscal, trade, and current account deficits under the Trump administration. The report will also evaluate the dollar’s value amid ongoing high deficits and rising public debt. - Reuters
Japan’s core inflation slows to 2-year low, complicates BOJ rate-hike timing:
Japan’s core inflation slowed to a two-year low of 2% in January, easing price pressures and complicating the Bank of Japan’s timing for further rate hikes. Despite this, underlying inflation remains above target, supporting expectations of a potential rate increase by mid-2026. - Reuters
Indices, Commodities & Currencies
The table below shows that the Global equities showed mixed performance, with modest gains in the NASDAQ and select European indices, while U.S. benchmarks and parts of Asia traded slightly lower amid cautious sentiment. Energy prices weakened across WTI and Brent, metals posted broad gains led by gold, silver, and platinum, while soft commodities delivered mixed results with strength in cocoa and sugar. Currency markets were relatively stable with slight dollar softness, as grain markets traded mixed and volatility remained contained despite pockets of risk-off positioning.
Fixed Income (USA Bonds)
Event
Conclusion
Near-term liquidity pressures and elevated funding costs may weigh on equities and short-term instruments, encouraging selective positioning in agriculture, mining, and digital infrastructure. Easing global inflation and shifting trade dynamics could support commodity-linked assets, though signals from the International Monetary Fund and major central banks may drive currency and bond volatility. Overall, investors may favor fundamentally strong, reform-aligned companies while closely tracking fixed income yields and external macro trends.
Thanks for reading Ranora Consulting! Subscribe for free to receive new posts and support my work.