FIXED INCOME MARKET
Interbank system liquidity opened the day with a credit balance of c.₦131.44 billion compared to yesterday’s opening balance of ₦42.81 billion. The Open Buy Back (OBB) trended higher to settle at 16.25% from 16.17% recorded, the previous day while the Overnight (ON) rate held steady at 16.50%.
The NTB secondary market was relatively quiet, with few demand observed on 09 November 2023 bill at c.13.05% while offers were at sub 13.00%. Overall, the average rate closed c.8bps lower, day-on-day, to settle at 8.48%.
The FGN bonds market endured a bullish theme, with demand witnessed across the curve most especially the 2029s, 2032s, 2037s, 2049s, and 2050s respectively. Consequently, the average yield closed c.10bps lower, day-on-day, to settle at 14.61%.
The Eurobond market traded mixed sentiments today with lower-than-expected US producer price index driving some demand while the weaker opening in the Asian markets spurred mild selling interest. Specifically, the Nigerian curve was mixed amid the recently released Nigerian inflation numbers, while Ghana and Angola papers continue to trade at lower prices. Overall, the average yield across the Nigerian sovereign curve settled at 11.11%.
The domestic bourse reversed its bearish trend, with buy activity observed across board. The Nigerian Stock Exchange All Share Index (NGX ASI) gained 0.54% day-on-day to settle at 44,046.94pts, while year-to-date returns extended to +3.11%. Bargain hunting was observed on bellwethers such as Zenith Bank Plc (+8.46%), Guaranty Trust Holding Company Plc (+6.63%), MTN Nigeria Communications Plc (+0.32%), and Nigerian Breweries Plc (+0.27%), respectively.
The NGX Banking and Industrial Indices gained 4.21% and 0.36% while NGX Oil & Gas and Consumer Goods indices lost 0.35% and 0.24%, day-on-day, respectively.
Fidelity Bank Plc led the volume traded chart with ca 27.95 million units while Airtel Africa Plc led the value traded chart with ca ₦626.62 million worth of trades.
FMDQ’s Nigerian Autonomous Foreign Exchange Fixing (NAFEX) rate held steady at ₦446.67/US$1.00.
Despite escalating geopolitical tensions on the world’s main oil-shipping routes, global oil prices dipped as concerns over rising COVID-19 cases in China curbed gains. Brent Crude Oil price dipped ca 1.63% day-on-day to settle at US$92.33pb, while WTI lost ca 2.21% day-on-day to settle at US$85.00pb as at report time. Spot Gold gained ca 0.09% day-on-day to close at US$1,778.40 per ounce as of report time.