“News Update:
The Bank of Industry (BOI) plans to inject N1trillion into the Nigerian economy through collaboration with financial institutions in the country and development insti- tutions in Africa. The Managing Director of BOI, Mr. Olukayode Pitan disclosed this to journalists on Tuesday at the inauguration of the governing board of the bank at BOI’s headquarters in Abuja. – Thisday”
“The bond market traded on a relatively calm note today as attention shifted to the FGN Bond auction. Yields opened and closed at same levels with minimal trades executed in the market. We expect im- proved activity in the market tomorrow in reaction to the stop rates at the auction today.
The T-bills market traded with mixed sentiments as market players continued to patronize the short tenured bills , whilst shying off the medium and long end. Consequently, yields declined by an average of 90bps on the short end while an average increase of 18bps was seen on the medium and long end. We expect the market to trade with bullish sentiments tomorrow with demand skewed towards the short end due to improvement in money market liquidity.
The OBB and O/N rates remained stable to close at 14.33% and 15.17% as liquidity conditions in the money market improved slightly due to Retail FX refunds by the CBN. Market liquidity is estimated at N11billion negative at close of business today. We expect rates to remain stable as cash inflows from OMO repayments tomorrow is expected to further bolster market liquidity.”
| ECONOMIC INDICATORS | |
| Inflation (YoY) | 16.25% |
| Exchange Rate ($) | N305.95 |
| MPR | 14.00% |
| Foreign Reserves | $30.33Bn |
| Brent Crude | $47.52 |
| FGN Bonds | ||||||
| Description | Bid (%) | Offer (%) | Day Change (%) | |||
| 16.00 29-Jun-19 | 16.60 | 16.53 | 0.05 | |||
| 15.54 13-Feb-20 | 16.40 | 16.33 | 0.00 | |||
| 14.50 15-Jul-21 | 16.25 | 16.18 | (0.06) | |||
| 16.39 27-Jan-22 | 16.13 | 16.06 | (0.01) | |||
| 14.20 14-Mar-24 | 15.98 | 15.91 | (0.02) | |||
| 12.50 22-Jan-26 | 16.30 | 16.23 | (0.01) | |||
| 16.29 17-Mar-27 | 16.25 | 16.18 | (0.03) | |||
| 12.15 18-Jul-34 | 16.00 | 15.93 | (0.02) | |||
| 12.40 18-Mar-36 | 16.01 | 15.94 | (0.01) | |||
| FGN Treasury Bills | ||||||
| Description | Bid (%) | Offer (%) | Day Change (%) | |||
| 3-Aug-17 | 18.05 | 17.80 | (0.95) | |||
| 14-Sep-17 | 15.75 | 15.50 | (0.25) | |||
| 19-Oct-17 | 16.30 | 16.05 | (1.50) | |||
| 2-Nov-17 | 19.05 | 18.80 | 0.40 | |||
| 7-Dec-17 | 18.90 | 18.65 | 0.10 | |||
| 4-Jan-18 | 18.85 | 18.60 | 0.15 | |||
| 1-Feb-18 | 18.80 | 18.55 | 0.20 | |||
| 1-Mar-18 | 18.70 | 18.45 | 0.10 | |||
| 5-Apr-18 | 18.85 | 18.60 | 0.10 | |||
| 3-May-18 | 18.70 | 18.45 | 0.20 | |||
| 14-Jun-18 | 18.70 | 18.45 | 0.20 | |||
| Eurobonds | |||
| Issuer | Description | Yield (%) | Day Change (%) |
| FGN | 6.38 12-Jul-23 | 6.00 | (0.14) |
| FGN | 7.875 16-Feb-32 | 7.02 | (0.10) |
| First Bank | 6.488 23-Jul-21 | 10.81 | (0.08) |
| Eco bank | 8.75 14-Aug-21 | 11.90 | (0.02) |
| Access Bank | 10.50 19-Oct-21 | 8.49 | 0.00 |
| Zenith Bank | 7.375 30-May-22 | 7.92 | 0.00 |
| UBA | 7.75 8-Jun-22 | 8.93 | (0.15) |
| Money Market Rates | ||||||||
| Current (%) | Previous (%) | |||||||
| Open Buy Back (OBB) | 14.33 | 15.00 | ||||||
| Overnight (O/N) | 15.17 | 16.17 | ||||||
| FX Market | ||||||||
| Current (N/$) | Previous ( N/$) | |||||||
| Interbank | 305.95 | 306.00 | ||||||
| CBN SMIS | 320.00 | 320.00 | ||||||
| I&E FX Window | 366.25 | 363.33 | ||||||
| Parallel Market | 364.50 | 364.50 | ||||||
| Primary Market Auction Results | ||||||||
| NTB – 05 July 2017 | ||||||||
| Tenor | Rate (%) | Offer (N’bn) | Sub (N’bn) | Sale (N’bn) | ||||
| 91 days | 13.50 | 35 | 28.84 | 28.69 | ||||
| 182 days | 17.50 | 22 | 21.41 | 21.25 | ||||
| 364 days | 18.599 | 120 | 161.19 | 127.06 | ||||
| FGN Bonds – 12 July 2017 | ||||||||
| Tenor | Rate (%) | Offer (N’bn) | Sub (N’bn) | Sale (N’bn) | ||||
| Jun-21 | 16.2400 | 35.00 | 9.10 | 3.90 | ||||
| Mar-27 | 16.2500 | 50.00 | 55.31 | 47.01 | ||||
| Apr-37 | 16.2514 | 50.00 | 64.75 | 55.05 | ||||
| OMO – 12 July 2017 | ||||||||
| Tenor | Rate (%) | Offer (NBn) | Sub (N’bn) | Sale (N’bn) | ||||
| 195 day | NIL | 5.00 | NIL | NIL | ||||
| 363 day | 18.55 | 40.00 | 34.32 | 34.32 | ||||
Sources: FMDQ, CBN, Bloomberg, Zedcrest research
