FIXED INCOME MARKET
Interbank system liquidity opened at ca ₦47.01 billion, lower than the previous day’s opening of ca ₦213.13 billion. Thus, the Overnight Policy Rate (OPR) and Overnight Rate (O/N) trended higher to settle at 16.17% and 16.83% respectively, from 14.00% and 15.00% recorded yesterday.
The NTB secondary market observed a muted session as the focus was largely on the NTB auction where c.N141bn was offered across the usual tenors. Overall, the average rate closed relatively flat, day-on-day to settle at 7.22%.
The FGN bonds market traded on a bearish note amid yesterday’s MPR hike with interest recorded across 2037s, 2042s, 2049s, and 2050s. Overall, the average yield closed ca 25bps higher, day-on-day to settle at 13.77%.
Sentiment in the Eurobond market remained weak, with sustained sell-off witnessed across major African markets amid hawkish US Fed chatters, extended declines in the Stock market, and Ghana/IMF discussions on debt resolutions. Overall, the average yield across the Nigerian sovereign curve settled at 14.10%.
The domestic bourse closed trading activities on a positive note, as the Nigerian Stock Exchange All Share Index (NGX ASI) marginally gained 0.02% day-on-day, to close at 49,171.70pts, while the market year-to-date return settled at +15.11%.
The NGX Industrial and Oil & Gas Indices gained ca 1.10% and 0.34% while the NGX Banking and Consumer Goods Indices lost ca 1.01% and 0.09%, day-on-day, respectively.
Guaranty Trust Holding Company Plc led both the volume and value charts with ca 14.34 million units, traded at ca ₦259.04 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate depreciated to ₦436.37/US$1.00 from ₦436.33/US$1.00, recorded the previous day.
Global oil prices extended gains as pressure from a stronger dollar and crude stockpile was countered by production cuts in the United States due to Hurricane Ian. Brent Crude Oil price gained ca 2.87% day-on-day to settle at US$88.75pb, while WTI rose ca 3.80% day-on-day to settle at US$81.48pb as at report time. Spot Gold gained ca 1.92% day-on-day to close at US$1,667.60 per ounce as of report time.