FIXED INCOME MARKET

Money Markets                                                                                

Interbank system liquidity opened with a balance of ₦318.53 billion, significantly higher than the previous day’s opening deficit balance of ca ₦82.71 billion, as OMO maturity of  ca.₦110.00 billion impacted the system. Thus, the Overnight Policy Rate (OPR) and Overnight (ON) rates trended lower to settle at 1.50% and 1.85% from 8.00% and 8.50% respectively.

Treasury Bills    

The NTB secondary market was relatively quiet again today. Major buy-side interest was seen on the long-dated maturities and the CBN special bill. However, few trades were consummated as offers remained low and unattractive. Overall, the average rate remained unchanged at 4.34%.

Bonds  

The FGN bonds secondary market maintained its bullish stance, with demand seen at the short to mid-end of the yield curve, particularly, the 2026, 2036 and 2037 maturities.  Overall, average yield to dip by ca 7bps day-on-day to 11.73%.

Eurobonds

The Eurobonds space was mixed to bearish today, with slight sell-side activity witnessed across the yield curve amid an expected hawkish decision by the Feds. Overall, the average yield rose ca 5bps day-on-day, at 7.52%.

Equities

Following price appreciations in stocks such as Ecobank Transnational Inc Plc (+9.94), Seplat Petroleum Development Company (+1.28%) and United Bank for Africa (+0.62%), the domestic bourse closed marginally higher as the Nigerian Stock Exchange All Share Index (NGX ASI) gained 0.02% day-on-day to close at 45,939.51pts, while year-to-date return stood at +7.55%.

The NGX Industrial Goods index was down ca 0.03%, while the NSE Oil and Gas, Banking and Consumer Goods indices gained ca 0.69%, 0.52% and 0.08% respectively, day-on-day.

Guaranty Trust Holding Company led the volume chart with ca 24.52 million units while Seplat Energy Plc topped the value charts with ca ₦963.42 million worth of trades.

Foreign Exchange

FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) appreciated to ₦416.33/US$1.00 from ₦416.38/US$1.00.

Commodities

Global crude oil prices rose today, on sustained optimism of tighter crude oil supply due to geopolitical tensions in Eastern Europe and the middle East. Thus, Brent Crude oil price gained ca 0.95% day-on-day to settle at US$87.09pb, while WTI also increased by ca 0.95% to US$84.09pb as at report time. Spot Gold rose ca 0.54% day-on-day to settle at US$1,851.70 per ounce as at report time.

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