Economy

Asian Equities Fall Sharply on Disappointing Chinese Trade Data

Published

7 years ago

08/03/2019

By Investors Hub

Asian stocks fell sharply on Friday after the European Central Bank downgraded its 2019 GDP forecast and China reported worse than expected trade data for the month of February.

Investors also looked ahead to the release of the U.S. Labor Department’s closely watched monthly jobs report for February later in the day.

China’s Shanghai Composite Index plummeted 136.56 points or 4.4 percent to 2,969.86, the biggest slump since October, after official data showed Chinese exports tumbled the most in three years in February and imports fell for a third straight month. Hong Kong’s Hang Seng Index plunged 551.03 points or 1.9 percent to 28,228.42.

Chinese exports nosedived 20.7 percent in February from a year earlier, reflecting weaker demand and distortions from the Lunar New Year holiday. That was far below expectations for a 4.8 percent drop. Imports fell 5.2 percent after a 1.5 percent decrease in January.

Japanese shares extended losses for a fourth straight session to hit a three-week low, as a downward revision of the ECB’s growth/inflation projections as well as weak Chinese data sapped investors’ appetite for risk. Meanwhile, a raft of domestic data proved to be a mixed bag.

The Cabinet Office said in a final reading that Japanese GDP gained a seasonally adjusted 0.5 percent sequentially in the fourth quarter of 2018. That beat expectations for an increase of 0.4 percent.

Current account surplus and household spending figures for January topped forecasts, while bank lending grew an annual 2.3 percent in February, down from 2.4 percent in January.

The Nikkei 225 Index tumbled 430.45 points or 2 percent to 21,025.56, the lowest closing level since February 15th and the biggest single-day loss since February 8th. The broader Topix closed 1.8 percent lower at 1,572.44.

Kawasaki Kisen slumped 12.6 percent after saying it would carry out business structural reforms. Mitsui OSK Lines lost 3 percent and Nippon Yusen retreated 3.2 percent. In the technology sector, Advantest tumbled 5.7 percent and Tokyo Electron gave up 3.6 percent.

Financials also ended mostly lower after the yield on 10-year Treasury note fell the most in nine weeks on global growth concerns. Mitsubishi UFJ Financial Group declined 2.3 percent and Dai-ichi Life Holdings plunged 4.8 percent.

Australian markets fell sharply as the ECB’s dovish turn with a surprise decision to offer more stimulus added to investor concerns about growth.

The benchmark S&P/ASX 200 Index tumbled 60.10 points or 1 percent to 6,203.80, while the broader All Ordinaries Index ended down 57.10 points or 0.9 percent at 6,287.10.

Commonwealth Bank of Australia lost 2 percent and Westpac Banking dropped 1.3 percent as their chief executives appeared before the parliamentary committee to answer questions related to widespread misconduct in the sector. ANZ declined 2.3 percent and NAB shed 1.1 percent.

Mining heavyweight BHP fell 1.3 percent and Rio Tinto gave up 1.6 percent after copper prices fell overnight.

Automotive Holdings Group plunged 3.7 percent and Infigen Energy plummeted 6.5 percent after S&P Dow Jones Indices said they would be removed from the benchmark on March 18th.

Seoul stocks also plunged, with the benchmark Kospi closing down 28.35 point or 1.3 percent at 2,137.44, its lowest closing level since January 24.

South Korea posted a current account surplus of $2.77 billion in January, the Bank of Korea said, down from $4.82 billion in December. The goods account surplus narrowed to $5.61 billion compared to the $7.55 billion figure for January of 2018.

Economy

Dangote Values Refinery at $39bn, Seeks $1bn in Private Placement

Published

14 hours ago

11/06/2026

Adedapo Adesanya

By Adedapo Adesanya

Dangote Petroleum Refinery is seeking to raise about $1 billion through a private placement that values the company at $39.1 billion.

According to reports, the refinery is offering 3 billion ordinary shares at $0.35 per share. Investors must subscribe for at least 1 million shares, equal to $350,000, with additional subscriptions accepted in multiples of 500,000 shares. The shares will be subject to a 365-day lock-up period from allotment.

It was reported that demand for the offer has already exceeded $2 billion, suggesting that the placement may be oversubscribed.

The operation is already attracting the interest of local investors. Recall that Nigerian billionaire, Mr Femi Otedola, has committed $100 million, while Afrobeats superstar, Mr David Adeleke, popularly known as Davido, also announced he would participate.

The proceeds will be used for expansion projects and general corporate purposes as the refinery deepens its role in Nigeria’s fuel supply market.

The facility has a nameplate capacity of 650,000 barrels per day and began fuel production in 2024. It produces diesel, aviation fuel, naphtha and premium motor spirit.

Standard Bank Group has also said it plans to play a leading role in the refinery’s future public listing, after the facility completed test runs at 700,000 barrels per day. It aims to reach 1.4 million barrels per day by 2028.

The fundraising is likely to renew expectations of a future public listing with a major stakeholder, Mr Aliko Dangote, saying the refinery could be listed, though no timeline was disclosed in the memorandum.

The current placement is seen as an early step that could expand ownership ahead of any future initial public offering (IPO).

Mr Dangote plans to sell between 5 and 10 per cent of the refinery on five major African exchanges: the Nigerian Exchange (NGX), the Johannesburg Stock Exchange (JSE), the BRVM, the Nairobi Securities Exchange (NSE) and the Ghana Stock Exchange (GSE).

It has appointed Stanbic IBTC Capital, Vetiva Capital Management and FirstCap to lead the planned initial public offering of its refinery business on the Nigerian Exchange.

Economy

Investors Lose N3.1bn as NASD Exchange Remains Red

Published

18 hours ago

11/06/2026

Adedapo Adesanya

By Adedapo Adesanya

The NASD Over-the-Counter (OTC) Securities Exchange entered a third straight day of losses after it fell by 0.12 per cent on Wednesday, June 10.

The depletion trimmed the market capitalisation further by N3.1 billion to N2.590 trillion from N2.593 trillion, and cut the NASD Unlisted Security Index (NSI) by 5.19 points to 4330.12 points from 4,335.31 points.

11 Plc lost N22.21 during the session to finish at N221.00 per share versus the previous day’s N243.21 per share, MRS Oil Plc depreciated by N6.90 to N158.10 per unit from N165.00 per unit, and Central Securities Clearing System (CSCS) Plc decreased by N2.81 to N78.32 per share from N81.13 per share.

On the flip side, FrieslandCampina Wamco Nigeria Plc went up by N9.27 to N183.08 per unit from N173.81 per unit, Nitrox Industrial Gases Plc added N1.92 to its value to close at N23.80 per share compared with the preceding day’s N21.88 per share, and Food Concepts Plc gained 10 Kobo to exchange at N2.58 per unit, in contrast to Tuesday’s closing price of N2.48 per unit.

At the close of business, the volume of securities traded by investors contracted by 92.6 per cent to 117,374 units from 1.6 million units, and the value of securities moderated by 80.5 per cent to N12.2 million from N62.3 million, while the number of deals increased by 4.9 per cent to 43 deals from 41 deals.

Great Nigeria Insurance (GNI) Plc finished the day as the most traded stock by value on a year-to-date basis with 3.4 billion units worth N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units traded for N6.5 billion, and CSCS Plc with 65.2 million units exchanged for N4.4 billion.

GNI Plc also closed the session as the most traded stock by volume on a year-to-date basis with 3.4 billion units valued at N8.4 billion, followed by Infracredit Plc with 2.3 billion units transacted for N6.5 billion, and Resourcery Plc with 1.1 billion units sold for N415.7 million

Economy

Naira Crashes to N1,362.05/$1 at Official Window After N1.50 Loss

Published

19 hours ago

11/06/2026

Adedapo Adesanya

By Adedapo Adesanya

The Naira fell against the United States Dollar by N1.50 or 0.11 per cent in the Nigerian Autonomous Foreign Exchange Market (NAFEX) to sell at N1,362.05/$1 on Wednesday, June 10, compared with the N1,360.55/$1 it traded on Tuesday.

Also, the local currency lost N4.33 against the Pound Sterling in the official window yesterday to trade at N1,827.33/£1 versus the preceding day’s N1,823.00/£1, and depreciated against the Euro by N1.74 to quote at N1,575.35/€1, in contrast to N1,573.61/€1 of the previous session.

However, at the GTBank forex desk, the Naira gained N3 against the US Dollar to sell at N1,370/$1 versus N1,373/$1, and at the parallel market, it remained unchanged at N1,380/$1.

Updated data from the Central Bank of Nigeria (CBN) showed that foreign reserves surged further due to additional inflows from various sources. Nigeria’s gross external reserves increased to $50.439 billion, its highest level since March 2026, reflecting sustained inflows from oil revenue and other FX sources.

Also, the International Monetary Fund (IMF) has said increased confidence in the Naira, supported by lower and more stable inflation, would encourage households, businesses and investors to hold more local currency assets and reduce reliance on foreign currencies.

The global lender, in a recent assessment, stressed the importance of strengthening the CBN’s operational framework and aligning liquidity management operations more closely with monetary policy objectives.

In the cryptocurrency market, there were recoveries from recent losses as US headline inflation rose an expected 0.5 per cent in May, but the beat on the core rate — which cuts out food and energy costs — pleased markets. The core rate, though, rose just 0.2 per cent in May against forecasts for 0.3 per cent.

The print reinforces the view that the US Federal Reserve will keep interest rates at 350-375 basis points at its June 17 meeting, but is likely to increase rates by 25 basis points by the end of the year.

Cardano (ADA) went up by 2.4 per cent to $0.1647, Bitcoin (BTC) rose by 2.3 per cent to $62,794.09, Binance Coin (BNB) jumped 1.8 per cent to $596.23, Ethereum (ETH) grew by 1.7 per cent to $1,658.12, and Solana (SOL) also soared by 1.7 per cent to $65.23.

Further, Dogecoin (DOGE) appreciated by 1.5 per cent to $0.0849, Ripple (XRP) expanded by 0.4 per cent to $1.11, and TRON (TRX) increased by 0.05 per cent to $0.3218, while the US Dollar Tether (USDT) lost 0.10 per cent to close at $0.9989, and the US Dollar Coin (USDC) declined by 0.01 per cent to $0.9997.