Markets and investing

Debt gets expensive for Nigeria, poor outlook for SA companies in 2017

Forex, equities, bonds & commodities, markets in Africa

The yield on South Africa’s local-currency 10-year bonds advanced 15 basis points. The rand fell much as 1.5 percent against the dollar on Thursday hitting three-week lows while the country’s stock market retreated 2.02%.

Moody’s projects low economic growth, “weak” consumer and business confidence, and foreign exchange swings to bode negatively for several emerging market companies, including South Africa, in 2017.

Investors are demanding yields as high as 19% for Nigerian debt. Nigerian stocks continued upwards for the 6th consecutive trading session, the all-share index gaining 0.57%.

Nigeria’s naira, Ghana’s cedi, Zambian kwacha and East African currencies are expected to broadly remain stable going into Christmas.

Tunisia’s Tunindex index suffered its eleventh drop (-0.47%) on the last twelve sessions.

Dutch Private Equity firm DOB Capital has acquired a stake in a Kenyan dairy company. The investor recently made another investment in an East African transport and logistics firm.

Gold, silver, platinum, copper and palladium prices all went down Thursday while oil priced edged up.

Libya reopened one of its biggest oil fields and is preparing for the first time in two years to ship crude from its largest export terminal, as the war-torn OPEC state pursues plans to almost double output in 2017.

Forex

Stocks