Report
FREE
Nigeria_Fixed Income Daily: Bears tighten grip at week close
Market commentary
- At week close, interbank placement rates rose further, with the Call rate up 108bps to 8.0%. At the FX interbank market, the Naira remained unchanged at NGN199.05/USD, retracing from an intraday high of NGN197.50/USD.
- As anticipated, trading in the T-bills market turned tepid (with a bearish bias) at weak close as selloff across most maturities in the space drove yields 12bps higher on average. The most sizeable yield increase was recorded on the short-mid end of the space. Notably, the 20DTM (+36bps), 118DTM(+42bps), and 153DTM(+39bps) bills closed at 3.93%, 8.95%, and 9.96% respectively. Similarly, the bond market knew no respite as investors maintained a risk-off stance. On the back of the broad based selloff, yields rose 11bps on average. Particularly, yields on the 15.54 FGN FEB 2020 and 16.39% FGN JAN 2022 bonds advanced 33bps and 27bps to close at 14.01% and 14.02% respectively.
- Ahead of the release of April inflation figure (scheduled for next week Wednesday), we anticipate a calmly traded session (with a bearish bias) in the fixed income market at week open as market participants trade cautiously.
Provider
Vetiva Capital Management
Vetiva provides clients with independent and unbiased access to analysis and opinion. We keep our clients on the cutting edge of market information and provide up to date market intelligence on quoted companies. Our services allow brokers, investment firms, and asset managers focus their energies on developing investment strategies and client relationships.
Other Reports from Vetiva Capital Management
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.