In the just concluded week, CBN sold more T-bills (worth N144.83 billion) than the matured T-bills worth N95.68 billion in the primary market with stop rates remaining flat for shorter maturities.
Specifically, stop rates for 91-Day and 182-Day bills were unchanged at 2.00% and 3.50% respectively. However, stop rate for 365-Day bill rose to 8.00% (from 7.00%).
We saw yields in the secondary market fall despite the rise in 364-day rate in the primary market.
NITTY for 3 months, 6 months and 12 months
maturities fell to 2.21% (from 2.51%), 3.69% (from 3.96%) and 6.01% (from 6.30%) respectively.
However, NITTY for 1 month rose to 1.93% (from 1.83%).
Meanwhile, CBN issued a total of N100.00 billion at the OMO auction to partly offset inflows from matured OMO bills worth N169.25 billion.
Despite the net inflow, NIBOR rose for most of the tenor buckets tracked.
Hence, NIBOR for 1 month, 3 months and 6 months rose to 5.44% (from 4.22%), 6.94%(from 5.83%) and 8.51% (from 7.32%) respectively.
However, overnight funds fell to 11.67%(from 13.25%).
In the new week, treasury bills worth N34 will mature via OMO; hence, we expect interbank rates to ease amid anticipated boost in financial system liquidity.