In the just concluded week, OTC bond prices moved in mixed directions across the
maturities due to interplay of bargain hunting and profit taking. Specifically, the 20-year,
10.00% FGN July 2030 bond and the 10-year, 16.39% FGN JAN 2022 paper lost N0.02 and N0.26 as the corresponding yields rose to 14.94% (from 14.93%) and 14.84% (from
However, then 7-year, 16.00% FGN JUN 2019 paper and the 5-year,14.50% FGN JUL
2021 paper appreciated by N0.13 each while their respective yields fell to 15.05%
(from 15.15%) and 15.04% (from 15.08%).
Elsewhere, FGN Eurobonds prices rebounded for all maturities amid resumed bargain hunting
activities on the London Stock Exchange. Specifically, the 10-year bonds, 6.75% JAN 28, 2021 and 6.38% JUL 12, 2023 lost N0.59 and N0.90 respectively (corresponding yields
declined to 4.54% and 5.32% respectively) while the 5-year, 5.13% JUL 12, 2018 bond
gained N0.18 (yield moderated to 3.15%).
This week, we anticipate likely bargain hunting on the back of expected improvement in financial system liquidity