New addition to the Capital Market category

by Ope on June 4th, 2009

filed under Capital Market, General, News

Starting from today i would be posting a daily market analysis of the NSE, with indications on overall market direction and once in a while profitable stock picks would be identified for subscribers to this blog.

The crucial issue for me in doing this is to diseminate information to my clients both current and potential 😉 in so doing i hope you’ld find this useful i your bid to make profitable investment decisions on your stock portfolio. And on my own part, i sincerely hope i would be able to sustain this posts on a regular basis.

Some Thoughts About The Financial Crises

by Ope on February 24th, 2009

filed under Capital Market, Economy, News

Some interesting perspectives I thought to share with you. Please note these are not my thoughts, but culled
from different view points and they make a heck of a lot of sense.

For once, both optimists and pessimist agree on one thing: 2009 would probably be one of the most challenging times in living history for most people in Nigeria and the world.

Even those who predicted that Nigeria was too detached from the global economic crisis have all reversed
their positions. Warren Buffet (arguably the greatest investor of our time) says: The secret to making money is to be cautious when everyone is greedy and to be greedy when everyone is cautious. But a lot of questions are to be answered:

Has the Nigerian stock market reached its bottom? Should I average down by investing at these low prices? Is there a real estate bubble? Will Naira depreciate further? What else can I invest in? Will I keep my job in 2009?

Will there be a banking crisis or consolidation? How best can I survive in 2009? This is an attempt to answer all these questions and more.

Many experts on the Nigerian economy agree on the following predictions:

Foreign exchange rate will depreciate further to between N150 to N175 and maybe closer to N200 per US$1
by mid to year end 2009; Nigeria’s foreign reserves may have halved by 2009 ending, from about US$52billion in December 2008 ($63bn in September 08); Prime lending rates would range between 20% and 25% depending on CBN’s willingness to print money and the mode of financing our N1 trillion deficit budget;
Crude Oil prices would range between $25 to $55 per barrel depending on weather conditions and events in the Middle East; Real Estate prices would adjust downwards by between 10% to 50% (especially in Ikoyi, Lekki and Victoria Island); Nigeria ‘s cocoa exports would drop significantly;

There would be huge swings in share prices (upwards and downward) with an average slow trend upwards;
Unemployment would rise (especially amongst bankers); Consumer confidence would drop and crime rate  would rise; and the Foreign exchange ‘black’ market would re-emerge and trade at a premium of between 5% to 10% above the official exchange rate.

Generally, all you need in 2009 are the 3 C’s: CASH, COURAGE and CALM.

CASH to survive and take advantage of all the golden opportunities which will arise.

COURAGE to aggressively implement all the highlighted recommendations/ Tips; and

CALM to remain steadfast.

What do you think? fill in your comments below.

Obama’s Change

by Ope on February 5th, 2009

filed under General, News, Politics

via kreativ

Naira effective?

by Ope on January 2nd, 2009

filed under Economy, News

Experts have expressed divergent views on the deliberate devaluation of the naira by the Central Bank of Nigeria to maintain internal and external balance of the economy.

While some observed that this action, which the CBN said was a “deliberate and strategic” move aimed at saving the economy from an impending financial crisis, would not be effective at this point in time, others said that the adjustment could not have come at a better time.

A retired professor of economics, Kayode Familoni, who spoke with our correspondent in a telephone interview on Monday, said although the devaluation had its benefits in the face of the current global crisis, it might not be effective as a deliberate policy weapon for Nigeria at present.

Familoni, formerly of the Department of Economics, University of Lagos, said before naira devaluation could be effective as a deliberate policy weapon, the country’s non-oil products much contribute more to the Gross Domestic Product.

“Before that policy can work, the non-oil sector must be significant, which at present, is not the case in Nigeria. The price regime in the oil sector is exogenously determined, it is not controlled by the country,” he explained.

“When we devalue, our domestic products become more attractive to foreigners, but right now, the non-oil sector is relatively weak,” he added.

But the Chief Executive Officer, Financial Derivates, Mr. Bismarck Rewane, said the devaluation is a necessity at this time because of the continuous fall of oil prices.

Speaking in a telephone interview with our correspondent, Rewane noted that the country currently had a financing gap, which necessitated a prompt adjustment.

Governor of the CBN, Prof. Charles Soludo had told the Senate, while explaining the continued depreciation of the naira against the United States dollar, and other foreign currencies, that the process of devaluing the naira was “carefully thought through and deliberately implemented” to maintain an internal and external balance for the economy.

He said the crash of crude prices in the international market due to the global financial crisis had adversely affected foreign earnings and inflows into the Nigerian economy.

While explaining that this had implications for the nation’s balance of payments, Soludo said, “Every country that experiences this has two options –you either allow the prices to adjust by way of exchange rate or quantities would adjust”.

On the effect of the falling value of the naira on inflation rate, Familoni said if the value of the naira fell vis-à-vis other foreign currencies, then foreign goods and services would be relatively more expensive than domestic goods and services.

He noted that this meant that the country would be importing at higher prices, adding that “given the home price regime, the imported price regime is higher. And some of these imported goods serve as intermediate or finished goods”.

This, he said, automatically increased the prices of goods and services in Nigeria, which meant there would be higher inflation.

However, while agreeing that such effects could follow the lower value of the naira, Rewane said, “You cannot make omelette without breaking eggs”.

“There is no perfect world. Some things must give. If there is inflation, it can be managed,” he argued.

The naira, which recorded some stability in the last three years, has crashed continuously from N117 to about N138 to the dollar in the past five weeks.

The development prompted the closure of the foreign exchange market for two consecutive days shortly before the Muslim Eid el Kabir festival.

Published in the Punch: Tuesday, 30 Dec 2008


by Ope on December 5th, 2008

filed under General, Music, Music Videos, News

Thanks for visiting, Please download all or any of the following and listen to the songs. Do come back to let me know what your opinion is about any of the songs and video.

download APALA CLASSIC (Audio)

download SLIPPERS ft. KOFFI (Audio)

download YEANKEYZ SLIPPERS ft. KOFFI (Full Video)

download YEANKEYZ SLIPPERS ft. KOFFI (Small Video)

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