Economy

US Earnings Buoy Asian Stock Markets Thursday

Published

6 years ago

24/10/2019

By Investors Hub

Asian stocks ended mostly higher on Thursday as upbeat U.S. earnings news helped offset investor concerns surrounding Brexit and the U.S.-China trade war.

While luxury electric car maker Tesla reported a surprise third-quarter profit, software giant Microsoft’s quarterly earnings were boosted by cloud and Office revenues.

Chinese stocks closed on a flat note as caution crept in ahead of a crucial meeting of the ruling Communist Party next week.

The benchmark Shanghai Composite Index finished marginally lower at 2,940.92, while Hong Kong’s Hang Seng Index gained 0.9 percent to close at 26,797.95.

Japanese shares hit over a one-year high as investors lapped up technology stocks on hopes for improved earnings following Microsoft’s stronger than expected sales forecasts for its cloud computing services. A weaker yen also helped underpin investor sentiment.

The Nikkei 225 Index climbed 125.22 points, or 0.6 percent, to 22,750.60, while the broader Topix closed 0.3 percent higher at 1,643.74. Tokyo Electron rallied 2.2 percent and Screen Holdings added 1.3 percent.

Pharmaceutical company Eisai Co soared 15.3 percent after it reached an agreement with its U.S. partner Biogen Inc. to revive plans to seek U.S. approval for an Alzheimer’s treatment.

Japan Display jumped 6.8 percent on a Nikkei report that tech giant Apple will be among a group of backers expected to provide as much as 40 billion yen in support for the troubled screen maker.

Softbank dropped 2.9 percent on continued worries that its finances will weaken due to its bailout of office-space sharing startup WeWork.

On the data front, Japan’s private sector contracted in October as a typhoon disrupted service sector activity, survey results from IHS Markit showed.

The Jibun Bank flash composite output index fell to 49.8 from 51.5 in September. The manufacturing PMI came in at 48.5 versus 48.9 in September.

Australian markets eked out modest gains as higher commodity prices helped lift resource stocks. The benchmark S&P/ASX 200 Index rose 20.50 points, or 0.3 percent, to 6,693.60, while the broader All Ordinaries Index ended up 18.50 points, or 0.3 percent, at 6,796.70.

Mining heavyweight BHP climbed 1 percent and Rio Tinto added 0.7 percent after an increase in copper and iron ore prices. Smaller rival Fortescue Metals Group gained half a percent after reporting a rise in first quarter shipments.

Energy stocks such as Santos and Woodside Petroleum jumped over 2 percent after oil prices rose sharply on Wednesday to reach one-month highs following a surprise draw in US crude inventories.

Electronics retailer JB Hi-Fi soared 6.8 percent as it posted strong sales in the July-September period.

AMP rose 1.1 percent. The wealth manager said third-quarter net cash outflows at its Australian wealth management unit rose more than 30 percent amid the fallout of the financial services royal commission.

Qantas Airways tumbled 3.7 percent after the airline reported lower revenue from its domestic routes at its budget carrier Jetstar. Gold miner Newcrest Mining dropped 1.6 percent on reporting weaker gold output in the first quarter.

Australia’s private sector logged weaker growth in October, survey data from IHS Markit showed. The Commonwealth Bank of Australia Flash Composite Output Index dropped to 50.7 from 52.0 in September, reflecting a weaker rise in services activity.

Seoul stocks edged higher as SK Hynix’s third quarter profit beat expectations, raising hopes of a recovery in the chip making industry. The benchmark Kospi inched up 5.04 points, or 0.2 percent, to 2,085.66. while shares of SK Hynix, the world’s second-largest memory chipmaker, jumped 3 percent.

Investors shrugged off preliminary data from the Bank of Korea showing the South Korean economy expanded at a slower pace in the third quarter amid heightened global uncertainties.

Gross domestic product grew 0.4 percent sequentially after rising 1 percent in the second quarter. GDP was forecast to expand 0.5 percent. On a yearly basis, Asia’s fourth-largest economy maintained 2 percent growth, in line with expectations.

Economy

Nigerian Stocks Close 1.13% Higher to Remain in Bulls’ Territory

Published

4 hours ago

20/12/2025

Dipo Olowookere

By Dipo Olowookere

The local stock market firmed up by 1.13 per cent on Friday as appetite for Nigerian stocks remained strong.

Investors reacted well to the 2026 budget presentation of President Bola Tinubu to the National Assembly yesterday, especially because of the more realistic crude oil benchmark of $64 per barrel compared with the ambitious $75 per barrel for 2025. This year, prices have been between $60 and $65 per barrel.

Business Post observed profit-taking in the commodity and energy sectors as they respectively shed 0.14 per cent and 0.03 per cent.

But, bargain-hunting in the others sustained the positive run, with the consumer goods index up by 3.82 per cent.

Further, the industrial goods space appreciated by 1.46 per cent, the banking counter improved by 0.08 per cent, and the insurance industry gained 0.04 per cent.

As a result, the All-Share Index (ASI) increased by 1,694.33 points to 152,057.38 points from 150,363.05 points and the market capitalisation chalked up N1.080 trillion to finish at N96.937 trillion compared with Thursday’s closing value of N95.857 trillion.

A total of 34 shares ended on the advancers’ chart, while 24 were on the laggards’ log, representing a positive market breadth index and bullish investor sentiment.

Austin Laz gained 10.00 per cent to close at N2.42, Union Dicon also jumped 10.00 per cent to N6.60, Tantalizers increased by 9.80 per cent to N2.69, Aluminium Extrusion improved by 9.78 per cent to N12.35, and Champion Breweries grew by 9.71 per cent to N16.95.

Conversely, Sovereign Trust Insurance dipped by 7.42 per cent to N3.87, Royal Exchange lost 6.84 per cent to trade at N1.77, Omatek slipped by 6.84 per cent to N1.09, Eunisell depreciated by 5.88 per cent to N80.00, and Eterna dropped 5.63 per cent to close at N28.50.

Yesterday, traders transacted 1.5 billion units worth N21.8 billion in 25,667 deals compared with the 839.8 million units sold for N32.8 billion in 23,211 deals in the preceding session, showing a surge in the trading volume by 76.61 per cent, an uptick in the number of deals by 10.58 per cent, and a shrink in the trading value by 33.54 per cent.

Economy

FrieslandCampina, Two Others Erase N26bn from NASD OTC Bourse

Published

6 hours ago

20/12/2025

Adedapo Adesanya

By Adedapo Adesanya

Three stocks stretched the bearish run of the NASD Over-the-Counter (OTC) Securities Exchange by 1.21 per cent on Friday, December 19, with the market capitalisation giving up N26.01 billion to close at N2.121 billion compared with the N2.147 trillion it ended a day earlier, and the NASD Unlisted Security Index (NSI) dropping 43.47 points to 3,546.41 points from 3,589.88 points.

The trio of FrieslandCampina Wamco Nigeria Plc, Central Securities Clearing System (CSCS) Plc, and NASD Plc overpowered the gains printed by four other securities.

FrieslandCampina Wamco Nigeria Plc lost N6.00 to sell at N54.00 per unit versus N60.00 per unit, NASD Plc shrank by N3.50 to N58.50 per share from N55.00 per share, and CSCS Plc depleted by N2.91 to N33.87 per unit from N36.78 per unit.

On the flip side, Air Liquide Plc gained N1.01 to close at N13.00 per share versus N11.99 per share, Golden Capital Plc appreciated by 70 Kobo to N7.68 per unit from N6.98 per unit, Geo-Fluids Plc added 39 Kobo to sell at N5.50 per share versus N5.11 per share, and IPWA Plc rose by 8 Kobo to 85 Kobo per unit from 77 Kobo per unit.

During the trading day, market participants traded 1.9 million securities versus the previous day’s 30.5 million securities showing a decline of 49.3 per cent. The value of trades went down by 64.3 per cent to N80.3 million from N225.1 million, but the number of deals jumped by 32.1 per cent to 37 deals from 28 deals.

Infrastructure Credit Guarantee Company (InfraCredit) Plc finished the session as the most active stock by value on a year-to-date basis with 5.8 billion units valued at N16.4 billion, followed by Okitipupa Plc with 178.9 million units transacted for N9.5 billion, and MRS Oil Plc with 36.1 million units traded for N4.9 billion.

The most active stock by volume on a year-to-date basis was still InfraCredit Plc with 5.8 billion units worth N16.4 billion, trailed by Industrial and General Insurance (IGI) Plc with 1.2 billion units sold for N420.7 million, and Impresit Bakolori Plc with 536.9 million units traded for N524.9 million.

Economy

Naira Crashes to N1,464/$1 at Official Market, N1,485/$1 at Black Market

Published

8 hours ago

20/12/2025

Adedapo Adesanya

By Adedapo Adesanya

It was not a good day for the Nigerian Naira at the two major foreign exchange (FX) market on Friday as it suffered a heavy loss against the United States Dollar at the close of transactions.

In the black market segment, the Naira weakened against its American counterpart yesterday by N10 to quote at N1,485/$1, in contrast to the N1,475/$1 it was traded a day earlier, and at the GTBank forex counter, it depreciated by N2 to settle at N1,467/$1 versus Thursday’s closing price of N1,465/$1.

In the Nigerian Autonomous Foreign Exchange Market (NAFEX) window, which is also the official market, the nation’s legal tender crashed against the greenback by N6.65 or 0.46 per cent to close at N1,464.49/$1 compared with the preceding session’s rate of N1,457.84/$1.

In the same vein, the local currency tumbled against the Euro in the spot market by N2.25 to sell for N1,714.63/€1 compared with the previous day’s N1,712.38/€1, but appreciated against the Pound Sterling by 73 Kobo to finish at N1,957.30/£1 compared with the N1,958.03/£1 it was traded in the preceding session.

The market continues to face seasonal pressure even as the Central Bank of Nigeria (CBN) is still conducting FX intervention sales, which have significantly reduced but not remove pressure from the Naira. Also, there seems to be reduced supply from exporters, foreign portfolio investors and non-bank corporate inflows.

President Bola Tinubu on Friday presented the government’s N58.47 trillion budget plan aimed at consolidating economic reforms and boosting growth.

The budget is based on a projected crude oil price of $64.85 a barrel and includes a target oil output of 1.84 million barrels a day. It also projects an exchange rate of N1,400 to the Dollar.

President Tinubu said inflation had plunged to an annual rate of 14.45 per cent in November from 24.23 per cent in March, while foreign reserves had surged to a seven-year high of $47 billion.

Meanwhile, the cryptocurrency market was dominated by the bulls but it continues to face increased pressure after million in liquidations in previous session over accelerating declines, with Dogecoin (DOGE) recovering 4.2 per cent to trade at $0.1309.

Further, Ripple (XRP) appreciated by 3.9 per cent to $1.90, Cardano (ADA) rose by 3.5 per cent to $0.3728, Solana (SOL) jumped by 3.4 per cent to $126.23, Ethereum (ETH) climbed by 2.9 per cent to $2,982.42, Binance Coin (BNB) gained 2.0 per cent to sell for $853.06, Bitcoin (BTC) improved by 1.7 per cent to $88,281.21, and Litecoin (LTC) soared by 1.2 per cent to $76.50, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) traded flat at $1.00 each.