FIXED INCOME MARKET

Money Markets                                                                                

Interbank system liquidity improved significantly, opening with a balance of ₦770.54 billion, higher than previous day’s opening balance of ca ₦278.29 billion. Consequently, the Overnight Policy Rate (OPR) and Overnight (ON) rates trended lower to 2.17% and 2.83% from previous day’s 5.00% and 5.25% respectively.

Treasury Bills                                                                  

Activity in the NTB secondary market was subdued today, as investors focused on the Primary Market Auction (PMA) held today. However, some interest was seen on the May special bill and August NTB between 4.50% and 4.65% levels.  Thus, the average rate remained unchanged day-on-day, closing at 4.42%.

Bonds  

The FGN bonds secondary market reflected  a mildly bullish theme, following the release of February 2022 bond auction offer circular. Some demand was seen on the 2036, 2037 and 2050 maturities at 12.78%, 12.85% and 13.05% respectively. Thus, average yield dipped by 5bps day-on-day, at 11.52%.

Eurobonds

The Nigerian Eurobonds market traded bullish today, with demand seen across the yield curve. Overall, the average yield fell by ca 10bps day-on-day to 7.19%.

Equities

The domestic bourse returned some of previous day’s losses to close the day in the green, with the Nigerian Stock Exchange All Share Index (NGX ASI) gaining 0.21% day-on-day to settle at 47,157.23pts, while year-to-date return expanded to +10.40%. This performance was largely supported by demand on stocks such as Access Bank Plc (+2.94%) and Zenith Bank Plc (+0.37%).

The NGX Banking, Consumer Goods, Oil and Gas and Industrial indices was up ca 1.68%, 0.65%, 0.09% and 0.03% respectively, day-on-day.

Access Bank Plc led the volume chart with ca 48.08 million units while Presco Plc topped the value chart with ca ₦910.71 million worth of trades.

Foreign Exchange

FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) appreciated to ₦416.00/US$1.00 from ₦416.67/US$1.00, the previous day.

Commodities

Global crude Oil prices rose today, following the American Petroleum Institute’s report of a drop of 2 million barrels in U.S crude inventories vs market analysts’ expectation of 400,000 barrel rise.  Thus, Brent Crude oil price gained ca 0.90% day-on-day to settle at US$91.60pb, while WTI also gained by ca 0.65% to US$89.94pb as at report time. Spot Gold gained ca 0.08% day-on-day to settle at US$1,829.60 per ounce as at report time.

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