FIXED INCOME MARKET
Interbank system liquidity improved today, opening in a deficit of ca ₦51.81 billion, better than the previous day’s opening deficit of ca ₦69.74 billion. Thus, the Open Buy Back (OBB) and Overnight (ON) rates trended lower to 8.67% and 9.50% from 15.00% and 16.02% respectively, the previous day.
The NTB secondary market was quiet today, as market players focused on the Primary Market Auction (PMA). However, pockets of trades were executed on 10 Nov 2022 paper at ca 5.70% levels. Overall, average rates remained relatively flat at 4.86%.
The FGN bonds secondary market traded with mixed to bearish sentiments, with the 2037 and 2050 maturities offered at 13.02% and 13.29% respectively. However, executed trades were few and far between. Overall, the average yield rose ca 3bps, day-on-day at 11.40%.
The Eurobonds space was largely bullish, with demand seen across the yield curve. Overall, average yield lost by ca 8bps, day-on-day to 7.35%.
The Nigerian Equities market ended the day with a negative performance, as the Nigerian Stock Exchange All Share Index (NGX ASI) lost 0.02% day-on-day to close at 43,245.02pts, while year-to-date performance fell to +7.39%. This was largely due to losses in stocks such as First Bank of Nigeria Holdings Plc (-2.44%) and Access Bank Plc (-1.08%)
The NSE Banking, Industrial Goods and Consumer Goods indices gained ca 0.25%, 0.13% and 0.09% respectively, while the NSE Oil and Gas index lost ca 0.24% day-on-day.
Zenith Bank Plc led the volume chart with ca 37.41 million units while Nestle Nigeria Plc topped the value chart with ca ₦1.06 billion worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) depreciated to ₦415.07/US$1.00 from ₦414.80/US$1.00.
Global crude oil prices returned some of previous day’s gains, on investors’ concern of the effectiveness of the release of oil from strategic petroleum reserves for various countries. Thus, Brent Crude oil price lost ca 0.60% day-on-day to settle at US$81.83pb, while WTI also lost ca 0.61% to US$78.02pb, as at report time. Spot Gold lost ca 0.07% day-on-day to settle at US$1,782.60 per ounce as at report time.