In the just concluded week, CBN issued a total of N20.00 billion at the OMO auction for 96- day (N5 billion at 7%), 173-day (N5 billion at 8.50%) and 341-day (N10 billion at 10.10%) to partly drain sytem liquidty given the maturing OMO bills worth N34 billion.
Thank you for reading this post, don't forget to subscribe!Nevertheless, NIBOR moved in mixed directions across tenor buckets.
While overnight funds and NIBOR for 1 month rose to 13.73% (from 11.67%) and 5.45% (from 5.44%), respectively, NIBOR for 3 months and 6 months tenor buckets fell to 6.93% (from 6.94%) and 8.31%(from 8.51%)
respectively.
Elsewhere, NITTY continued to move northwards for most maturities amid traders’ sell-offs.
NITTY for 3 months, 6 months and 12 months maturities rose to 2.22% (from 2.21%), 3.78% (from 3.69%) and 7.01% (from 6.01%) respectively. However, NITTY for 1 month fell to 1.82% (from 1.93%).
In the new week, T-bills worth N89.56 billion will mature via the primary and secondary markets to more than offset the T-bills worth N69.56 billion which will be auctioned by CBN via the primary market; viz: 92-day bills worth 15.92 billion, 182-day bills worth N4.50 billion and 364-day bills worth N49.14 billion.
We expect the stop rates of the new issuances to marginally increase.