FIXED INCOME MARKET
The Overnight Policy Rate (OPR) and Overnight (ON) rates trended significantly higher to settle at 13.00% and 13.25% from 0.75% and 1.00% on the back of today’s retail FX auction and CRR debits by the Apex bank.
The NTB secondary market closed the week on a muted note, albeit with sideways trading observed on the April and May CBN Special bills at 4.70% levels. Thus, the average rates were unchanged day-on-day, closing at 4.27%.
The FGN bonds secondary market traded with a mixed to bearish tone, with improved offers seen on the long-dated maturities – 2042s and 2050s breaking the 13.00% threshold, while a few trade deals were also made on the 2026s. Overall, the average yield inched up by 3bps day-on-day, at 11.63%.
The Nigerian Eurobonds market was largely bearish, with sustained selloff activity seen across board. Overall, the average yield rose by ca 12bps day-on-day at 7.19%.
The domestic bourse closed trading activities in the red, with sell pressure dominant on stocks like International Breweries Plc (-9.40%), First Bank of Nigeria Holdings Plc (-2.63%), and Seplat Energy Plc (-0.24%). The Nigerian Stock Exchange All Share Index (NGX ASI) lost 0.11% day-on-day to settle at 47,279.92pts, while year-to-date return trimmed to +10.68%.
The NGX Banking and Industrial indices gained ca 0.18% and 0.01% while NGX Consumer Goods and Oil & Gas indices shed ca 0.58% and 0.24% day-on-day, respectively.
Fidelity Bank Plc led the volume chart with ca 24.85 million units while Seplat Energy Plc topped the value charts with ca ₦569.47 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) depreciated to ₦416.33/US$1.00 from ₦416.07/US$1.00, the previous day.
Oil prices hit a seven-year high today, as global tensions and a winter storm in the United States fueled fears of production disruptions. Brent Crude oil price rose ca 2.74% day-on-day to settle at US$93.61pb, while WTI also gained by ca 3.06% to US$93.03pb as at report time. Spot Gold gained ca 0.21% day-on-day to settle at US$1,807.80 per ounce as at report time.