Economy
Weaker Dollar, Positive Chinese Data Boost Oil Prices
By Adedapo Adesanya
Oil prices returned to the bullish zone on Thursday, boosted by a weak dollar and bullish signals from Chinese import data, outweighing pressures from renewed worries about global oil demand.
Consequently, the Brent crude rose by 26 cents or 0.48 per cent to sell at $56.32 per barrel, while the US West Texas Intermediate (WTI) jumped by 70 cents or 1.32 per cent to trade at $53.63 per barrel.
The day’s positive outcome came as the US Dollar index slumped to session lows after the country’s Federal Reserve made an unfavourable comment about interest rates. A weaker greenback makes dollar-denominated oil cheaper for holders of foreign currencies.
The market was also buoyed by positive data out of the largest importer, China as the country’s total crude oil imports rose 7.3 per cent in 2020, with record arrivals in the second and third quarters as refineries expanded operations and low prices encouraged buying.
However, despite this oil demand still faces a serious threat as lockdowns in Europe and China continued.
Governments across Europe have announced tighter and longer coronavirus lockdowns, with vaccinations not expected to have a significant impact for the next few months while China reported its biggest daily jump in new COVID-19 cases in more than 10 months.
Global oil demand is set to rise by 5.9 million barrels per day in 2021 from an estimated average demand of 90 million barrels per day in 2020, according to the Organisation of the Petroleum Exporting Countries (OPEC) on Thursday, leaving its 2021 demand growth forecast unchanged from last month but warned that the pandemic still has a large effect on the market’s direction.
The cartel noted that developed economies will see oil demand rise by 2.6 million barrels per day this year, driven by North America, while emerging markets—led by China and India—will see oil demand increase by 3.3 million barrels per day, according to OPEC’s Monthly Oil Market Report (MOMR).
In total, world oil demand is expected to average 95.9 million barrels per day in 2021—still nearly 5 million barrels per day below the pre-crisis levels from 2019.
The market will be looking at the US as President-elect Joe Biden is set to unveil a coronavirus response plan that includes boosting the rate of vaccinations and helping counter the economic effects of the pandemic.
He has already set a goal of administering 100 million vaccine shots in the first 100 days after he takes office on January 20, and his plan is expected to include funding to expand the vaccination campaign.
Also, his plan is also expected to include a new round of direct payments to US households. A previous coronavirus relief bill was delayed last month amid disagreements about how much the size of stimulus payment should be.
The impeachment of President Donald Trump on Wednesday by the House of Representatives did not sway the market. The lower chamber accused Mr Trump of encouraging violence with his claims of election fraud and he now faces trial in the upper chamber, the Senate, but not before he leaves office next Wednesday.
Economy
BNB Price Reflects Changing Dynamics in the Digital Asset Market
Economy
NASD Unlisted Security Index Crosses 4,000-point Benchmark Again
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange achieved a milestone on Friday, April 24, 2026, after five securities on the platform helped with a 1.85 per cent growth.
Data showed that the NASD Unlisted Security Index (NSI) again crossed the 4,000-point benchmark yesterday.
The index chalked up 73.64 points during the trading day to close at 4,052.59 points compared with the preceding session’s 3,978.95 points, while the market capitalisation added N5.38 billion to finish at N2.424 trillion versus Thursday’s closing value of N2.380 trillion.
The price gainers were led by Okitipupa Plc, which grew by N25.00 to sell at N305.00 per share compared with the previous price of N280.00 per share. Central Securities Clearing System (CSCS) Plc gained N6.92 to close at N76.26 per unit versus N69.34 per unit, Afriland Properties Plc appreciated by N1.00 to N17.00 per share from N18.00 per share, FrieslandCampina Wamco Nigeria Plc improved by 55 Kobo to N99.55 per unit from N99.00 per unit, and Food Concepts Plc increased by 5 Kobo to N2.70 per share from N2.65 per share.
However, there was a price loser, MRS Oil, which dipped by N21.75 to N195.75 per unit from N217.50 per unit.
During the final session of the week, the value of securities jumped 75.2 per cent to N41.3 million from N23.6 million units, and the number of deals expanded by 62.9 per cent to 44 deals from 27 deals, while the volume of securities declined marginally by 0.9 per cent to 447,403 units from 451,522 units.
At the close of trades, Great Nigeria Insurance (GNI) Plc was the most traded stock by volume (year-to-date) with 3.4 billion units worth N8.4 billion, trailed by Resourcery Plc with 1.1 billion units valued at N415.7 million, and Infrastructure Guarantee Credit Plc with 400 million units traded for N1.2 billion.
GNI was also the most active stock by value (year-to-date) with 3.4 billion units sold for N8.4 billion, followed by CSCS Plc with 59.6 million units transacted for N4.0 billion, and Okitipupa Plc with 27.8 million units exchanged for N1.9 billion.
Economy
Naira Slips to N1,358/$1 as FX Reserves, Policy Uncertainty Concerns
By Adedapo Adesanya
It was not a good day for the Nigerian Naira in the currency market on Friday, April 24, as its value depreciated against the major foreign currencies at the close of transactions.
In the Nigerian Autonomous Foreign Exchange Market (NAFEX), it lost N4.53 or 0.33 per cent against the United States Dollar yesterday to trade at N1,358.44/$1, in contrast to the N1,353.91/$1 it was exchanged on Thursday.
Equally, the domestic currency slipped against the Pound Sterling in the official market during the session by N8.14 to close at N1,834.02/£1, compared with the previous rate of N1,825.88/£1 and dropped N8.01 against the Euro to sell at N1,590.73/€1 versus N1,582.72/€1.
Also, the Naira depreciated against the US Dollar at the GTBank FX desk on Friday by N4 to quote at N1,370/$1 compared with the previous session’s N1,366/$1, and at the parallel market, it depleted by N5 to settle at N1,380/$1 versus the preceding day’s N1,375/$1.
Data published by the Central Bank of Nigeria (CBN) indicated that NFEM interbank turnover surged to N43.562 million across 68 deals, up from N28.117 million the previous day.
Despite the CBN’s reassurance that the recent drop in external reserves is not worrisome, the market remains unsettled by persistent concerns over liquidity constraints, policy transparency, and weakening confidence in Nigeria’s FX market as gross reserves continue to decline to $48.4 billion.
The outlook for the Dollar appears supported by broader macro risks, including elevated oil prices tied to the tanker traffic disruptions in the Strait of Hormuz and a continued US-Iran standoff over ceasefire negotiations.
A look at the digital currency market showed that investors are sitting on the edge as the US Dollar rebounded amid geopolitical and inflation risks despite continued inflows into US spot bitcoin Exchange Traded Funds (ETFs).
Solana (SOL) rose by 1.2 per cent to sell $86.45, Cardano (ADA) appreciated by 1.1 per cent to $0.2517, Dogecoin (DOGE) grew by 0.9 per cent to $0.0989, Ripple (XRP) improved by 0.3 per cent to $1.43, Ethereum (ETH) soared by 0.2 per cent to $2,316.83, and Binance Coin (BNB) chalked up 0.1 per cent to sell for $637.44.
However, TRON (TRX) depreciated by 1.3 per cent to $0.3235, and Bitcoin (BTC) lost 0.2 per cent to close at $77,562.27, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) closed flat at $1.00 each.
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