19 July 2018 ( Lagos )
NTB’s and Money Market
Opening market liquidity on Wednesday was N269bn (positive). Interbank rates closed within a range of 5% to 12%. There was a primary market auction of NTBs. The CBN raised N107bn from the sale of the 91-day, 182-day and 364-day paper at stop rates of 10.00%, 10.50% and 11.49% respectively. On the NTB secondary market, there was an uptick in yields for most maturities.
FGN Bonds and EuroBonds
The FGN bond market was fairly active and yields picked up across most traded maturities. As for the Eurobond market, yields on sovereigns continued their upward trend but narrowed for the corporates.
The CBN’s daily fx intervention was again US$0.5m, at N305.35. Turnover at the NAFEX tripled from US$71m on Tuesday to US$212m. Indicative rates ranged from N359 to N363. The USD touched a three-week high on Wednesday as it continued to strengthen against a basket of currencies including the GBP. Official figures released yesterday showed the UK’s headline inflation rate was unchanged at a 16 month low of 2.4% in June, below the consensus forecast of 2.6% and reducing the odds of a rate hike by the Bank of England at its next meeting in August.
Reporting for EasyKobo on Thursday, 19 July 2018 in Lagos, Nigeria
Source : Gregory Kronsten, Olubunmi Asaolu, Chinwe Egwim from FBNQuest Capital Limited.
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