Jan 26 (Lagos) - Following inflows from FX refund which buoyed system liquidity to about NGN626 billion, interbank Call rate declined 325bps to 1.00%.
At the FX interbank market, the Naira depreciated 9 kobo to NGN199.05/USD, retracing from an intraday high of NGN197.24/USD.
Following a thinly traded session, mixed sentiments were recorded in the T-bills market as sizeable selling persisted on the short dated bills (yields up 30bps on average) whilst sparse demand was recorded on select maturities.
Whilst yields on the 17DTM and 24DTM bills advanced 126bps and 105bps to 2.21% and 2.00%, yields on the 143DTM and 185DTM bills declined 32bps and 22bps to 7.56% and 7.27% respectively.
Sentiment however reversed in the bond market as selling pressure strengthened across all traded maturities (yields up 19bps on average). Particularly, yield on the 15.105% FGN APR 2017 bond rose 37bps to 10.04%.
Analysts at Vetiva Capital Management Ltd in Victoria Island expect market activities to remain tepid in the next trading session albeit with a bearish bias, as traders await clarity on monetary policy front from the two-day Monetary Policy Committee (MPC) meeting which concludes tomorrow.
reporting for easykobo.com on Tuesday, Jan 26 2016 from Lagos, Nigeria
Source - Analysts at Vetiva, V.I
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