Economy
Asian Equities Decline as Trump, Kim Leave Vietnam With No Deal
By Investors Hub
Asian stocks ended Thursday’s session mostly lower as comments by U.S. Trade Representative Robert Lighthizer dampened recent optimism about the U.S.-China trade talks.
Investor sentiment was also dented by weak data from China and news that U.S. President Donald Trump and North Korean leader Kim Jong Un abruptly ended summit talks earlier than scheduled.
Chinese shares fell as weak data reinforced fears that the world’s second-largest economy is losing momentum.
The benchmark Shanghai Composite Index dropped 12.87 points or 0.4 percent to 2,940.95, while Hong Kong’s Hang Seng Index fell 124.26 points or 0.4 percent to 28,633.18.
Activity in China’s vast manufacturing sector continued to contract in February, and at a faster rate, the latest survey from the National Bureau of Statistics revealed with a manufacturing PMI score of 49.2.
That missed expectations for a score of 49.5, which would have been unchanged from the previous month.
The non-manufacturing PMI came in with a score of 54.3 in February – shy of expectations for 54.5 and down from 54.7 in the previous month.
Japanese shares fell as hopes for progress in U.S-China trade talks faded and a historic summit ended without agreement on the denuclearization of the Korean Peninsula. Weak industrial output and retail sales data also weighed on markets.
The Nikkei 225 Index slid 171.35 points or 0.8 percent to 21,385.16, while the broader Topix closed 0.8 percent lower at 1,607.66.
Machinery and shipping stocks fell the most, with Fanuc, Mitsui OSK Lines and Komatsu falling 2-3 percent. Gaming firm Nexon Co. soared 4.7 percent on buzz that its holding firm NXC Corp. is up for grabs.
In economic news, industrial production in Japan plunged a seasonally adjusted 3.7 percent in January, a government report showed. That missed expectations for a decline of 2.5 percent following the 0.1 percent dip in December.
The total value of retail sales in Japan was down a seasonally adjusted 2.3 percent sequentially in the month, missing expectations for a decrease of 0.8 percent following the 0.9 percent increase in December.
Meanwhile, Australian markets eked out modest gains, with financials and healthcare companies leading the surge.
The benchmark S&P/ASX 200 Index rose 18.70 points or 0.3 percent to 6,169, taking the monthly gain to over 5 percent, its biggest monthly gain since July 2016. The broader All Ordinaries Index ended up 19.10 points or 0.3 percent at 6,252.70.
The big four banks rose between 0.4 percent and 1.3 percent in light of a less harsh outcome from a bank inquiry into financial misconduct. Healthcare stocks witnessed defensive buying, with CSL jumping 3.1 percent.
Ramsay Health Care surged up 5.9 percent as it reported a nearly 10 percent increase in first-half profits and reaffirmed its outlook for full-year earnings.
Mining stocks ended mixed after the release of weaker Chinese factory data. BHP fell 1.2 percent and Fortescue Metals Group tumbled 5.2 percent, while Rio Tinto rose over 1 percent.
On the data front, reports on private capital spending and private sector credit proved to be a mixed bag.
Seoul stocks closed sharply lower as the U.S.-North Korea summit ended abruptly with no deal. The benchmark Kospi plunged 39.35 points or 1.8 percent to 2,195.44 ahead of a long holiday weekend.
The local markets will be closed Friday to commemorate the March 1 Independence Movement, which took place in 1919.
Tech stocks succumbed to heavy selling pressure, with LG Electronics, Samsung Electronics and SK Hynix losing 2-5 percent.
Investors ignored positive industrial output data showing that production in South Korea climbed a seasonally adjusted 0.5 percent in January, rebounding from the 0.8 percent contraction in December.
By Modupe Gbadeyanka
To unlock about $50 billion in deep offshore investment, President Bola Tinubu has signed the Deep Offshore Oil and Gas Projects Incentives (Tax Remission) Order, 2026, stressing that the aim is “to make Nigeria Africa’s regional hub for deep offshore project execution.”
In a statement personally signed by him on Wednesday, the Nigerian leader disclosed that he approved the executive order to create a clear and predictable framework for the sector.
According to him, the approval has already attracted approximately $10 billion for the Bonga South West project.
He stated that for projects accessing the supplementary incentives, the Order requires activities to be performed in Nigeria, subject to clearly defined exceptions and Nigerian content requirements.
The President noted that this part was included because “I want the work to come home to Nigeria. I want our engineers involved, our fabrication yards working, Nigerian marine and technical service companies securing contracts, and our young people acquiring world-class skills.”
“For me, the real measure of $50 billion will be what Nigerians see from it: good jobs, stronger Nigerian businesses, greater production, more revenue for the Federation and capabilities built here at home. Our natural resources must work harder for our people,” he added.
Mr Tinubu stated that this order is the tenth major policy directive of his administration targeted specifically at the oil and gas sector.
“We have been deliberate about removing the constraints holding back investment, production and value creation.
“For too long, some of our biggest offshore opportunities have remained stalled. We cannot afford to leave that opportunity beneath our waters for another decade. Capital moves, countries compete for it, and investors committing billions of dollars over many years need certainty,” he disclosed.
According to him, “We are providing that certainty, with a clear window for existing deep offshore leases to reach Final Investment Decision by 31 December 2029 and qualify for the full standard incentive.”
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange extended its stay in the red territory for a second consecutive session on Tuesday, August 11, declining by 1.81 per cent.
This pulled back the market capitalisation by N8.94 billion to N2.748 trillion from N2.798 trillion, and the NASD Security Index (NSI) dropped 84.44 points to 4,578.74 points from 4,663.18 points.
The market breadth index was at equilibrium yesterday, as there were four price gainers and four price losers.
On the red side, Central Securities Clearing System (CSCS) Plc depreciated by N12.86 to N116.88 per share from N129.74 per share, Afriland Properties Plc declined by N1.95 per cent to N22.00 per unit from N23.95 per unit, Food Concepts Plc weakened by 25 Kobo to N2.50 per share from N2.75 per share, and Geo-Fluids Plc lost 22 Kobo to sell at N2.05 per unit versus Monday’s N2.27 per unit.
On the green side, FrieslandCampina Wamco Nigeria Plc gained N11.50 to finish at N156.50 per share compared with the previous day’s N145.00 per share, Nitrox Industrial Gases Plc expanded by N2.11 to N23.36 per unit from N21.15 per unit, NASD Plc advanced by N1.90 to N36.00 per share from N34.10 per share, and Nipco Plc surged by 50 Kobo to N457.00 per unit from N456.50 per unit.
During the session, the volume of securities rose by 31.2 per cent to 1.5 million units from 1.1 million units, the value of securities improved by 315.9 per cent to N42.3 million from N10.2 million, and the number of deals skyrocketed by 45.7 per cent to 51 deals from Monday’s 35 deals.
Great Nigeria Insurance (GNI) Plc ended as the most active stock by value (year-to-date), with 3.4 billion units valued at N8.4 billion, trailed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units sold for N6.5 billion, and CSCS Plc with 77.0 million units transacted for N5.5 billion.
GNI Plc also closed as the most active stock by volume (year-to-date), with 3.4 billion units worth N8.4 billion, followed by Infracredit Plc with 2.3 billion units exchanged for N6.5 billion, and Resourcery Plc with 1.1 billion units traded for N415.7 million.
By Dipo Olowookere
The Nigerian Exchange (NGX) Limited tumbled by 0.73 per cent on Tuesday on the back of profit-taking by investors.
The consumer goods counter shed 0.96 per cent, and the banking space crashed by 0.46 per cent due to selling pressure. But the insurance index gained 0.24 per cent, and the energy segment improved by 0.03 per cent, while the industrial goods sector closed flat.
When the bourse closed for the session, the All-Share Index (ASI) gave up 1,806.18 points to 246,723.57 points from 248,529.75 points, and the market capitalisation depreciated by N1.166 trillion to N159.256 trillion from N160.422 trillion.
Thomas Wyatt lost 9.97 per cent to quote at N2.89, AVA Capital declined by 9.60 per cent to N8.95, International Energy Insurance dipped by 6.32 per cent to N4.00, International Breweries dropped 5.98 per cent to close at N11.00, and Guinea Insurance shed 5.13 per cent to 74 Kobo.
On the flip side, UPDC REIT gained 10.00 per cent to end at N14.85, FTN Cocoa appreciated by 9.88 per cent to N8.90, C&I Leasing surged by 8.26 per cent to N5.90, Sovereign Trust Insurance went up by 6.74 per cent to N1.90, and Regency Alliance climbed 6.33 per cent to 84 Kobo.
Yesterday, Fortis Global Insurance was the busiest equity, leading the activity chart with a turnover of 3.3 billion units worth N9.6 billion. Trans-Nationwide Express transacted 84.6 million units for N181.9 million, Access Holdings sold 66.1 million units valued at N1.9 billion, Consolidated Hallmark exchanged 54.3 million units worth N379.4 million, and Fidelity Bank traded 46.9 million units for N1.0 billion.
Investors bought and sold 3.9 billion units worth N32.4 billion in 45,608 deals compared with the 1.1 billion units valued at N27.0 billion traded in 59,185 deals a day earlier. This indicated that the number of deals retreated by 22.94 per cent, the trading volume increased by 254.55 per cent, and the trading value soared by 20.00 per cent.
