FIXED INCOME MARKET
Interbank system liquidity opened with a negative balance of ca-₦128.20billion, lower than yesterday’s opening balance of ca -₦110.34billion. Consequently, the Overnight Policy Rate (OPR) printed higher at 16.25% from 16.17% the previous day, while the Overnight Rate (ON) held steady at 16.50%.
The NTB secondary market traded on a mixed note, with sideways interest recorded across November 2022 papers and March 2023 CBN Special bills. Overall, the average rate closed ca 10bps higher, day-on-day to settle at 9.26%.
The FGN bonds market repriced the bid/ask quotes across the yield curve in tandem with yesterday’s auction, with most of the interest skewed to 2037s, 2042s, and 2050s at 15.90%, 15.20%, and 15.25% respectively. Overall, the average yield closed ca 7bps higher, day-on-day to settle at 14.36%.
The SSA Eurobond observed weak sentiments, as early buying interest amid positive global equities opening, reversed by midday amid investors’ shedding off some risk assets. Overall, the average yield across the Nigerian sovereign curve settled at 13.83%.
The domestic bourse sustained its bearish trend due to the continued sell down target and cross trade on Airtel Africa Plc (-10.00%). The Nigerian Stock Exchange All Share Index (NGX ASI) lost 2.16% day-on-day to settle at 45,366.32pts, while year-to-date return further reduced to +6.20%. Profit-taking activities were also observed on stocks like Nigerian Breweries Plc (-9.80%), Stanbic IBTC Holdings Plc (-0.71%), and First Bank of Nigeria Holdings Plc (-0.52%), respectively.
The NGX Industrial and Banking Indices gained ca 1.38% and 0.95% while the NGX Consumer Goods and Oil & Gas Indices lost ca 1.14% and 0.28%, day-on-day, respectively.
CWG Plc led the volume chart with ca 25.88 million units, while Airtel Africa Plc topped the value charts with ca ₦1.35 billion worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate was stable at ₦441.25/US$1.00.
Global crude oil prices dipped today amid concerns on economic slowdown and crude demand report from China. Brent Crude Oil price lost ca 2.64% day-on-day to settle at US$89.20pb, while WTI dipped ca 3.48% day-on-day to settle at US$82.49pb as at report time. Spot Gold lost ca 0.63% day-on-day to close at US$1,653.40 per ounce as of report time.