FIXED INCOME MARKET
Interbank system liquidity opened c.-₦89.99 billion negative, higher than yesterday’s opening of c.-₦413.40 billion. Thus, the Overnight Policy Rate (OPR) printed lower at 14.75% from 15.00% the previous day, while the Overnight Rate (ON) held steady at 15.00%.
The Treasury bills market closed the week on a bearish note, with selling interest observed across August to November 2022 CBN SPEBS at c.11.00% levels, however bids were scarce due to tight system liquidity. Consequently, the average rate rose by c.5bps day-on-day, to close at 7.49%.
The FGN bonds market endured a quiet theme, albeit with a bearish undertone as slightly improved offers were seen on 2025s, 2029s, 2032s and 2050s. Overall, the average yield stayed relatively flat, day-on-day to settle at 12.27%.
The SSA and other African Eurobond markets sustained a risk-on tone, with buying interests recorded across the curve. Overall, the average yield across the Nigerian sovereign curve settled at 12.29%.
The domestic bourse reversed its negative trend, as the Nigerian Stock Exchange All Share Index (NGX ASI) gained 1.42% day-on-day to close at 50,370.25pts, while year-to-date returns improved to +17.82%. Buying interest was seen on bellwethers such as Zenith Bank Plc (+9.52%), Access Holdings Plc (+5.88%), MTN Nigeria Communications Plc (+5.32%), and Guaranty Trust Holding Company Plc (+5.03%) respectively.
The NGX Banking, Industrial, Consumer Goods, and Oil & Gas indices gained ca 6.60%, 0.24%, 0.20%, and 0.06% day-on-day, respectively.
Livingtrust Mortgage Bank Plc led the volume chart with ca 50.00 million units while Flourmills Nigeria Plc topped the value charts with ca ₦575.08 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate depreciated to ₦429.20/US$1.00 from ₦426.20/US$1.00, recorded the previous day.
Global crude oil prices rose today, influenced by recent events as OPEC and its allies are set to meet next week to discuss supply policy and production plans. Brent Crude Oil price gained ca 3.18% day-on-day to settle at US$110.55pb, while WTI rose ca 5.11% day-on-day to settle at US$101.39b as at report time. Spot Gold gained ca 0.63% day-on-day to close at US$1,761.40per ounce as of report time.