FIXED INCOME MARKETS
Money Market
The Open Repo Rate (OPR) decreased by 81 bps to 24.97%, and the Overnight Rate (O/N) decreased by 67 bps to 25.50% due to ample system liquidity.
Outlook: We anticipate that interbank rates will rise tomorrow, depending on the outcome of today’s OMO auction.
Treasury Bills
The treasury bill market closed bullish across the curve today. The average mid-rate for the benchmark NTB papers declined by 139bps to 18.42%.
Outlook: We expect the bullish sentiment to ease tomorrow.
FGN Bonds
Today, the local FGN bonds market also settled on a bullish note. Overall, the average mid-yield fell by 14 bps to 18.82%.
Outlook: We expect the bullish sentiment to ease tomorrow.
Equities
The Nigerian stock market closed bullish today, with the All-Share Index increasing by 0.7% to reach 96,073.28 points. The year-to-date return and market capitalization settled at 28.44% and ₦55.17 trillion, respectively. VERITASKAP led the volume charts with 67.27 million, while ZENITHBANK led the value charts with ₦503.54 million.
Outlook: We expect the current sentiment to resurface tomorrow.
Foreign Exchange
Naira depreciated against the USD by 1.69% to $/₦1,596.60.
Outlook: We expect volatility to persist.
Eurobonds
The African Eurobonds market closed slightly bearish today but was less aggressive. As a result, average mid-yield increased by 4bps to 9.83% from 9.79%.
Outlook: We expect a similar trading session tomorrow.
Commodities
Oil prices gained today amid reports of a production halt in Libya and after Israel and Hezbollah traded a barrage of strikes across the Lebanon border. Brent prices rose by 2.75% to $81.19 and WTI prices increased by 3.01% to $77.08. Gold prices increased by 0.11% to $2,549.10 per ounce.
Outlook: We expect the volatility to persist.