Price Watch: Consumers paid more for diesel and less for petrol in December
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COVID-19 Update in Nigeria
Daily Parallel Market Exchange Rate – ₦470/$1
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Business News
Daily updates on bonds, treasury bills, forex, and oil price
Welcome to Nairametrics‘ summary of the daily performance of major economic indicators and highlights from trading sessions and key statistics such as Treasury Bills and Bonds. This is brought to you by Zedcrest.
Welcome to Nairametrics‘ summary of the daily performance of major economic indicators and highlights from trading sessions and key statistics such as Treasury Bills and Bonds. This is brought to you by Zedcrest.
This report is dated June 6th, 2019.
CBN Floats A Second OMO Auction This Week, Secondary Market Yields Expand Further In Response.
Key Indicators
Bonds: The Bonds market resumed from the holiday break on a weak note, a yields continued to climb higher. Yields expanded by c.13bps across the benchmark bond curve, as average yields closed at 14.58%. We witnessed bargain hunting by investors at the long-end of the curve, especially 2034 and 2049 maturities.
Bargain hunting should persist as local appetite remains for yields at these levels, we therefore expect a strong close for bonds this week.
Treasury Bills: Treasury Bills saw continued rise in yields opening today’s session, as the CBN announced a second OMO auction this week. Yields on short-dated maturities accelerated the most as market players sold-off in anticipation of tightened system liquidity levels. Yields across the NTB curve expanded by c.36bps on the average, for the second trading session in a row.
At the OMO auction, the CBN sold a total of N157.98bn across three maturities. The stop rates for the 98-, and 364-day tenors were maitained at 11.40% and 12.48% respectively, while the 175-day closed marginally lower at 11.63%.
We expect yields to remain elevated to close the week, as system liquidity faces funding pressures from FX Retail funding tomorrow.
Money Market: Money market rates remained stable as the CBN promptly mopped up inflows of c.N177bn via OMO maturities with an OMO auction today, selling a total of N157.98bn. The OBB and OVN rates closed at 8.29% and 9.21% respectively.
We expect money market rates to close the week higher, as funding pressures from the CBN FX Retail Bi-weekly auction weigh on system liquidity levels.
FX Market: At the Interbank, the Naira/USD rate remained unchanged at N306.95/$ (spot) and N356.92/$ (SMIS). The Naira also remained stable at the I&E window, with the NAFEX rate unchanged despite a 79% increase in market turnover (to close at $330.61m).
At the parallel market, the cash and transfer rates remained unchanged at N358.80/$ and N362.50/$ respectively.
Eurobonds: The NIGERIA Sovereigns reversed losses from previous trading sessions, as we witnessed demand for papers across the sovereign curve. The most active papers were the NIGERIA 2027, 2047 and 2049 maturities. Yields compressed by c.20bps on the average across the curve.
The NIGERIA Corps continued to receive positive interests from local investors, we witnessed continued interest across most of the tracked tickers especially the FIDBAN 2022 and ETINL 2024 papers which gained +5bps and +3bps respectively.
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Disclaimer: Whilst proper and reasonable care has been taken in the preparation and accuracy of the facts and figures presented in this report, no responsibility or liability is accepted by Zedcrest Capital or its employees for any error, omission or opinion expressed herein. This report is not an investment research or a research recommendation and should not be regarded as such. The information provided herein is by no means intended to provide a sufficient basis on which to make an investment decision.
Energy
Price Watch: Consumers paid more for diesel and less for petrol in December
The December 2020 NBS report shows that consumers paid more for diesel and less for petrol than they did in November 2020.
The Price Watch report released by Nigeria Bureau of Statistics (NBS) for the month of December 2020 revealed that consumers paid more for Diesel (Automotive Gas Oil) and less for Petrol (Premium Motor Spirit), compared to that of November 2020.
The average price paid by consumers for diesel increased by 0.28%, from N223.74 in November 2020 to N224.37 in December 2020, while the average price paid by consumers for petrol decreased by 0.94% from N167.27 in November 2020 to N165.70 in December 2020.
Key highlights of the report
Diesel
- Consumers in Taraba (N266.00), Adamawa (N262.50) and Zamfara (N257.50) paid the highest average price for Diesel.
- While consumers in Kwara (N195.00), Gombe (N197.50) and Osun (N201.09) paid the lowest average price for Diesel.
- Overall, consumers in North West (N240.57), North East (N238.88) and North Central (N226.37) paid the highest average price for Diesel, while consumers in South West (N209.27), South East (N209.35) and South South (N216.25) paid the lowest average price.
Petrol
- Consumers in Abia (N176.19), Kwara (N172.43) and Kebbi (N169.92) paid the highest average price for petrol.
- While consumers in Kaduna (N155.00), Katsina (N160.25) and Bauchi (N162.57) paid the lowest average price for petrol.
- Overall, consumers in South East (N168.04), North Central (N166.94) and South South (N166.53) paid the highest average price for petrol, while consumers in North West (N163.79), North East (N164.47) and South West (N164.92) paid the lowest average price.
Since a lot of manufacturing companies rely heavily on diesel to power their machinery and equipment, the increase would have added to their cost of operations, culminating in consumers paying more for goods and services.
Also, one would have expected that the reduced price of fuel in December 2020 would lead to lower transport fares for commuters during the festive season, but that was not the case.
Coronavirus
COVID-19: FG to disburse N10 billion for local vaccine production
The Minister of Health has disclosed that Nigeria is exploring options for the licensed production of COVID-19 vaccine.
Coronavirus
COVID-19 Update in Nigeria
On the 18th of January 2021, 1,617 new confirmed cases and 14 deaths were recorded in Nigeria
The spread of novel Corona Virus Disease (COVID-19) in Nigeria continues to record significant increases as the latest statistics provided by the Nigeria Centre for Disease Control reveal Nigeria now has 112,004 confirmed cases.
On the 18th of January 2021, 1,617 new confirmed cases and 14 deaths were recorded in Nigeria.
To date, 112,004 cases have been confirmed, 89,939 cases have been discharged and 1,449 deaths have been recorded in 36 states and the Federal Capital Territory. A total of 1.17 million tests have been carried out as of January 17th, 2021 compared to 1.15 million tests a day earlier.
COVID-19 Case Updates- 18th January 2021,
- Total Number of Cases – 112,004
- Total Number Discharged – 89,939
- Total Deaths – 1,449
- Total Tests Carried out – 1,172,234
According to the NCDC, the 1,617 new cases were reported from 18 states- Lagos (776), Kaduna (147) Kwara (131), FCT (102), Plateau (78), Edo (59), Ogun (53), Osun (45), Rivers (37), Taraba (36), Nasarawa (34), Adamawa (33), Kano (26), Delta (20), Ebonyi (16), Bayelsa (11), Gombe(11) and Borno (2).
Meanwhile, the latest numbers bring Lagos state total confirmed cases to 41,400, followed by Abuja (14,700), Plateau (6,831), Kaduna (6,325), Oyo (4,695), Rivers (4,429), Edo (3,320), Ogun (2,912), Kano (2,617), Delta (2,122), Ondo (2,070), Katsina (1,723), Kwara (1,697), Enugu (1,583), Gombe (1,500), Nasarawa (1,335), Ebonyi (1,275), Osun (1,260), Abia (1,134), and Bauchi (1,107).
Borno State has recorded 867 cases, Imo (857), Sokoto (677), Akwa Ibom (667), Benue (657), Bayelsa (619), Adamawa (573), Niger (547), Anambra (515), Ekiti (473), Jigawa (425), Taraba (294), Kebbi (251), Yobe (211), Cross River (169), Zamfara (162), while Kogi state has recorded 5 cases only.
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Lock Down and Curfew
In a move to combat the spread of the pandemic disease, President Muhammadu Buhari directed the cessation of all movements in Lagos and the FCT for an initial period of 14 days, which took effect from 11 pm on Monday, 30th March 2020.
The movement restriction, which was extended by another two weeks period, has been partially put on hold with some businesses commencing operations from May 4. On April 27th, 2020, Nigeria’s President, Muhammadu Buhari declared an overnight curfew from 8 pm to 6 am across the country, as part of new measures to contain the spread of the COVID-19. This comes along with the phased and gradual easing of lockdown measures in FCT, Lagos, and Ogun States, which took effect from Saturday, 2nd May 2020, at 9 am.
On Monday, 29th June 2020 the federal government extended the second phase of the eased lockdown by 4 weeks and approved interstate movement outside curfew hours with effect from July 1, 2020. Also, on Monday 27th July 2020, the federal government extended the second phase of eased lockdown by an additional one week.
On Thursday, 6th August 2020 the federal government through the secretary to the Government of the Federation (SGF) and Chairman of the Presidential Task Force (PTF) on COVID-19 announced the extension of the second phase of eased lockdown by another four (4) weeks.
Governor Babajide Sanwo-Olu of Lagos State announced the closed down of the Eti-Osa Isolation Centre, with effect from Friday, 31st July 2020. He also mentioned that the Agidingbi Isolation Centre would also be closed and the patients relocated to a large capacity centre.
Due to the increased number of covid-19 cases in Nigeria, the Nigerian government ordered the reopening of Isolation and treatment centres in the country on Thursday, 10th December 2020.
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