FIXED INCOME MARKET
Money Markets

Opening interbank system liquidity printed at c. 54.40billion long,  compared to c.₦ 66.07 billion reported the previous day. Consequently, the Overnight Policy Rate (OPR) and Overnight Rate(O/N) rose to 13.00% and 13.50% respectively from 12.33% and 12.83% recorded at yesterday’s session.

Treasury Bills

The NTB market traded on a tepid note, as market’s focus was on the NTB auction where c. ₦214bn was offered across the usual tenors. Thus, average rate closed relatively flat at 7.37%.

Bonds

The FGN bonds market traded mixed sentiments, as demand was witnessed on 2042s, 2049s and 2050s while selling interest was observed on 2025s, 2034s, 2036s and 2037s. Overall, average yield closed c.5bps higher at 12.61% at the close of the session.

Eurobonds

The Eurobond market witnessed a bearish theme with selling interest recorded across Nigeria, Angola, and Ghana curves, as an aggressive US Fed narrative seems to be resurfacing, building up to US Fed Chair Powell’s speech tomorrow alongside other committee members. Overall, average rate closed at 12.53%.

In other news, the IMF Mission Chief for Ghana arrived in the country today, to meet with the finance minister to accelerate the proposed funding programme.

Equities

The domestic bourse closed in negative territory as the Nigerian Stock Exchange All Share Index (NGX ASI) lost 0.02% day-on-day, closing at 49,635.76pts while year-to-date returns trimmed to +16.11%. Profit-taking activities on stocks such as NB (-0.10%) and Sterling Bank (-3.90%) drove the performance.

The NGX Banking & Oil & Gas Indices both lost c.0.30% and 0.32% respectively, the NGX Consumer Goods Index gained c. 0.10% while the NGX Industrial Index closed flat. Sterling Bank led the volume chart with c.26.85million units while MTNN topped the value charts with c.₦ 495.50million worth of trades.

Foreign Exchange

FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate depreciated to ₦436.50/US$1.00 from ₦436.00/US$1.00 recorded the previous day.

Commodities

Oil prices fell by more than $3 today to their lowest since Russia invaded Ukraine on demand fears stoked by looming recession risks and downbeat Chinese trade data. Brent Crude Oil lost c.3.75% day-on-day to settle at US$89.30pb, as the WTI lost c.4.33% day-on-day to settle at US$83.12pb as at report time. Spot Gold gained c.0.58% day-on-day to close at US$1,722.90 per ounce as of report time.

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