FIXED INCOME MARKET
Interbank system liquidity opened with a deficit balance of ca ₦82.71 billion, lower than Friday’s opening positition of ca – ₦52.82 billion. Nonetheless, the Overnight Policy Rate (OPR) and Overnight (ON) rates trended lower to settle at 8.00% and 8.50% from 15.00% and 15.25% respectively.
The NTB secondary market was relatively quiet today, albeit with a bullish undertone. Major buy-side interest was seen on the long-dated maturities and the CBN special bill. However, few trades were consummated as the bid/ask spread were wide. Overall, the average rate remained unchanged at 4.31%.
The FGN bonds secondary market was largely bullish today, due to inflows from 2026 and 2045 bonds coupon payments. Demand was seen on the 2026, 2035, 2037, 2045 and 2050 maturities, causing average yield to dip by ca 8bps day-on-day to 11.76%.
The Eurobonds space was bearish today, with sell-side activities witnessed across the yield curve. Overall, the average yield rose ca 6bps day-on-day, at 6.91%.
The domestic bourse returned some of last week’s gains to end the day in the red, as the Nigerian Stock Exchange All Share Index (NGX ASI) lost 0.06% day-on-day to settle at 45,928.27pts, while year-to-date return weakened to +7.52%. This negative performance, was largely due to Nigerian Breweries Plc (-1.46%) and Guaranty Trust Holding Company Plc (-0.58%).
The NGX Oil & Gas index gained ca 1.67%, while the NSE Banking, Consumer Goods and Industrial Goods indices shed ca 0.45%, 0.23% and 0.01% respectively, day-on-day.
Chams Plc led the volume chart with ca 40.55 million units while Seplat Energy Plc topped the value charts with ca ₦797.37 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) depreciated to ₦416.38/US$1.00 from ₦416.00/US$1.00.
Global crude oil prices steadied today, on rising optimism of tighter crude oil supply due to geopolitical tensions in Eastern Europe and the middle East. Thus, Brent Crude oil price gained ca 0.13% day-on-day to settle at US$88.00pb, while WTI lost ca 0.02% to US$85.12pb as at report time. Spot Gold gained ca 0.46% day-on-day to settle at US$1,840.20 per ounce as at report time.