System Liquidity
System liquidity opened the week in surplus, supported by coupon inflows and strong participation at the SDF window. Funding rates should moderate next session, supported by expected liquidity inflows.
Treasury Bills
The NTB market opened on a calm but bearish note, with selling pressure pushing yields higher as investors positioned ahead of fresh supply. Demand should remain focused on the upcoming primary market auction.
FGN Bonds
The bond market opened mixed and cautious, following some profit-taking after the previous rally. Buying interest remained stronger at the short end, while activity at the long end was muted. Demand should remain selective in the near term.
Eurobonds
The Eurobond market opened cautiously as elevated US yields and Middle East risks weighed on sentiment. However, Nigeria’s improving inflation outlook and attractive sovereign yields continued to support selective demand. Yields may remain under pressure near term.
Nigerian Equities
The equities market opened bearish, with all major sectors recording losses. Despite the weakness, strong year-to-date performance continues to support sentiment. Trading should remain cautious and choppy as profit-taking persists, with selective buying in fundamentally strong stocks
Foreign Exchange
The naira traded mixed across the FX market, while reserves continued to improve. The market remains relatively stable, supported by ongoing monetary and fiscal policy adjustments. Stability is expected to persist in the near term.
Commodities
Gold remained supported by a weaker dollar, lower yields and safe-haven demand, while Brent declined amid renewed US–Iran sanctions. Gold should remain supported, while oil is likely to stay volatile amid geopolitical risks and developments around the Strait of Hormuz.
