FIXED INCOME MARKET
Interbank system liquidity opened with a credit balance of ₦97.53 billion, compared to the previous day’s opening balance of ca ₦58.10 billion. Nonetheless, the Overnight Policy Rate (OPR) and Overnight (ON) rates trended higher to settle at 12.00% and 12.50% from 8.17% and 8.75%, recorded yesterday.
The NTB market traded on a calm note, with little to no trade executed across the curve as the spotlight shifted to the NTB auction. However, there were sellers of NTB papers from January to March, but bids were sparse, thus the average rate remained stable at 3.63%.
The FGN bonds secondary market endured a quiet theme buoyed by the paucity of trades. However, few activities were seen on 2025s, 2026s, 2032s, 2036s and 2050s, as some investors gradually took profit on their auction winnings. Thus, the average yield stayed flat, day-on-day to settle at 11.18%.
The risk off tone intensified today with most SSA sovereigns trading more than c.2pts down across the curve. Russia’s halting of gas supply to Poland/Bulgaria, China’s COVID battle and an aggressive Fed stance continue to rattle investors’ confidence. Overall, the average yield settled at 8.81%.
The domestic bourse recorded a flattish performance, as the Nigerian Stock Exchange All Share Index (NGX ASI) marginally gained 0.01% day-on-day to settle at 48,571.75pts, while year-to-date return extended to +13.71%. Buy interest in stocks like Presco Plc (+8.98%), BUA Cement Plc (+0.96%), and Stanbic IBTC Holdings Plc (+0.71%).
The NGX Consumer Goods and Industrial indices gained ca 0.68% and 0.37% while the NGX Banking and Oil & Gas Indices lost 1.46% and 0.72% day-on-day, respectively.
Multiverse Mining and Exploration Plc led the volume chart with ca 36.24 million units while Lafarge Africa Plc topped the value charts with ca ₦392.65 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate depreciated to ₦419.33/US$1.00 from ₦418.50/US$1.00, printed the previous day.
Global oil prices stay volatile today, despite the likely geopolitical tensions brewing, as Russia restricted gas supplies to Poland, while hopes of Chinese stimulus boosted demand. Brent Crude Oil price lost ca 0.57% day-on-day to settle at US$104.37pb, while WTI also dipped ca 0.93% day-on-day to settle at US$100.75pb as at report time. Spot Gold lost ca 0.90% day-on-day to close at US$1,886.90 per ounce as at report time.