FIXED INCOME MARKET
Interbank system liquidity opened with a negative balance of -₦134.61 billion, relatively better than yesterday’s opening balance of ca – ₦261.87 billion. Overall, liquidity levels remained tight with the Overnight Policy Rate (OPR) and Overnight Rate (O/N) settling at 16.33% and 16.50%, respectively.
The NTB secondary market closed the week bearish, with selling interest observed on 24 November 2022, 23 February 2023, 30 March 2023, and 28 September 2023 papers. Overall, the average rate closed ca 10bps higher, day-on-day, to settle at 9.51%.
The FGN bonds market traded mixed sentiments, with sideways interests witnessed across 2027s, 2029s, 2037s, and 2042s. Overall, the average yield held steady, day-on-day, to settle at 14.33%.
The Asian stock market faltering amid Wall Street’s marginal decline, led to another wave of selloffs in the Eurobond space, with African markets losing on average c.1.85 points. Overall, the average yield across the Nigerian sovereign curve settled at 14.47%.
The domestic bourse closed today’s trading in the green, with slight buy-interest observed on stocks like Fidelity Bank Plc (+0.80%) and Guaranty Trust Holding Company Plc (+0.27%), respectively. The Nigerian Stock Exchange All Share Index (NGX ASI) gained 0.15% day-on-day to settle at 44,396.73pts, while year-to-date returns extended to +3.93%.
The NGX Industrial and Consumer Goods Indices gained ca 0.77% and 0.15% while the NGX Banking Index lost ca 0.35%, day-on-day, respectively. The NGX Oil & Gas Index closed flat.
Fidelity Bank Plc led the volume chart with ca 26.59 million units, while Airtel Africa Plc topped the value charts with ca ₦978.83 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate depreciated to ₦441.67/US$1.00 from ₦441.13/US$1.00, recorded the previous day.
Global oil prices stayed volatile as investors assessed the impact of sharp interest rate hikes on energy consumption, countering projections of rising Chinese demand and supply cutbacks by OPEC and its allies. Brent Crude Oil price gained ca 0.67% day-on-day to settle at US$93.00pb, while WTI rose ca 0.40% day-on-day to settle at US$84.85pb as at report time. Spot Gold gained ca 0.70% day-on-day to close at US$1,648.30 per ounce as of report time.