System Liquidity
System liquidity opened with a surplus of ₦4.39 trillion, an increase of ₦682.39 billion from the previous session, driven by higher DMB placements at the CBN’s SDF window rising from ₦3.62 trillion to ₦4.32 trillion. Average funding cost inched up to 22.18%, with OPR at 22.00% and OVN at 22.35%.
Treasury Bills
The NTB secondary market traded bearish as yields rose sharply across the curve amid selling pressure and investor repositioning. The long-end 04 Feb 27 bill recorded a notable yield jump of 269bps to 18.40%, driving the average benchmark rate up by 143bps to 17.24%.
FGN Bonds
The FGN bond market was largely stable with minimal yield movements across the curve. Short- to mid tenor bonds stayed flat, while benchmark yields averaged 15.42%, unchanged from the prior session.
Eurobonds
The African Eurobond market traded bearish as Nigerian Eurobond yields rose across tenors due to risk aversion and higher oil prices. Nigeria’s benchmark Eurobond curve widened by 5bps on average, with yields such as the Nov 2027, Sep 2028, and Mar 2029 rising to 5.42%, 5.66%, and 5.89%, respectively.
Nigerian Equities
The Nigerian equities market closed positive with the All Share Index advancing 139bps, raising YTD return to 25.64%. Market breadth was neutral at 31 gainers and 31 losers, while the Pension Index gained 142bps and trading activity remained mixed across sectors.
Foreign Exchange
The Naira depreciated by 107bps (₦14.63) against the U.S. Dollar at the NFEM, trading within the ₦1,368.50/$ – ₦1,397.00/$ range before settling at ₦1,378.03/$. External reserves stood at $49.51 billion, reflecting an increase of $115.96 million day on day.
Commodities
Oil prices surged as Brent crude rose 6.15% to $77.35/bbl, and WTI climbed 5.74% to $70.87/bbl, following geopolitical tensions in the Middle East. Gold also strengthened, with spot prices rising 104bps to $5,332.85/oz, while U.S. gold futures increased 110bps to $5,305.74/oz.
