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Tuesday, December 16, 2014
Further Hike in Money Market Rates…as liquidity dearth persists
Meri Bond Index
Domestic Macros
The OBB and OVN rates trended as high as 29.34% on the average, with both closing at 72.33% and 75.92%
respectively. In the NIBOR space, CALL rate pegged at 63.46% (+29.21%) while average change on the 1M, 3M, and
6M offers was +0.04%, with rates closing at 17.37%, 17.24%, and 17.83% in that order.
Anticipation of higher yields at tomorrow's auction resulted in sell-offs in the treasury bills market. Average T-Bills
yield rose by 0.07%, as the 1M, 2M, 3M, 6M, 9M, and 12M bills closed at 14.28%, 14.47%, 14.64%, 14.83%, 15.09%,
and 15.48% correspondingly. Fresh Bills worth NGN195.574bn will be auctioned tomorrow across the 91-Day, 182Day, and 364-Day tenors. Advised Stop Rates for these lie between 10.00%-10.20% (91-Day), 13.40%-13.60% (182Day), 13.50%-13.70% (364-Day).
Nominal GDP (NGN'tn)
85.739
Index Level
886.77
GDP Growth Rate
6.23%
Today's CHG
-0.40%
Inflation Rate
7.90%
WtD
-2.57%
Unemployment Rate
23.90%
MtD
-4.92%
Exchange Rate (NGN/$)
180.650
QtD
-8.02%
Interest Rate (MPR)
13.00%
YtD
-9.93%
Supply continues to outweigh demand in the bond space, with average change in yield at +0.12%. We expect this to
continue in the face of declining global oil price (USD59.00 as at today), its associated drag on the Naira, and the
effects on returns on investments.
Reserves ($'bn)
37.200
52-Week's CHG
-9.88%
Average NIBOR Rate
28.98%
Following the RDAS held yesterday, the Naira lost footing against the greenback, dipping 1.08% with mid quote at
NGN180.65 as at the close of day's trade.
Average T-Bills Yield
14.80%
Average Bond Yield
14.12%
Nigeria Inter-Bank Offered Rate (NIBOR)
1100
Liquidity Guage
RATE
1D CHG
WTD
MTD
QTD
YTD
CALL RATE
63.46%
29.21%
38.08%
50.04%
52.83%
52.83%
1 MONTH
17.37%
0.32%
0.27%
3.33%
5.04%
6.25%
3 MONTH
17.24%
-0.19%
-0.04%
2.67%
4.06%
5.45%
6 MONTH
17.83%
0.01%
0.30%
2.49%
3.53%
5.79%
1050
1000
950
900
8.14
850
800
Source: FMDQ, Bloomberg, Meristem Research
Nigerian Treasury Bill (NITTY)
RATE
1D CHG
WTD
MTD
QTD
YTD
14.28%
0.04%
0.36%
0.76%
3.79%
2.25%
2 MONTH
14.47%
0.01%
0.05%
0.93%
3.61%
2.40%
3 MONTH
14.64%
0.09%
0.19%
1.00%
3.68%
2.17%
6 MONTH
14.83%
0.10%
-0.31%
1.03%
3.86%
2.09%
9 MONTH
15.09%
0.10%
-0.06%
1.14%
3.87%
12 MONTH
15.48%
0.07%
0.10%
1.38%
3.92%
2.33% 12.00%
2.63% 11.00%
15.00%
14.00%
13.00%
10.00%
Source: FMDQ, Bloomberg, Meristem Research
Money Market Rates
RATE
T-Bills
16.00%
1 MONTH
1D CHG
WTD
9.00%
MTD
QTD
YTD
OPEN BUY BACK
72.33%
29.83%
54.16%
60.79%
62.04%
62.04%
OVERNIGHT
75.92%
28.84%
56.84%
64.00%
65.38%
65.38%
8.00%
FGN BENCHMARK BONDS AND OFF THE RUN BONDS
1D CHG
Modified
Duration
Coupon (%)
Bid Price
Offer Price
Bid Yield
Offer Yield
Outstanding Value
(N'bn)
Issue Date
Maturity Date
Benchmark Bonds
13.05 16-AUG-2016
0.25%
1.38
13.05%
96.65
96.80
15.36%
15.26%
563.886704
16-Aug-13
16-Aug-16
15.10 27-APR-2017
0.31%
1.89
15.10%
99.5
99.65
15.33%
15.25%
452.795699
27-Apr-12
27-Apr-17
16.00 29-JUN-2019
0.20%
2.95
16.00%
102.55
102.85
15.20%
15.10%
351.3
29-Jun-12
29-Jun-19
16.39 27-JAN-2022
0.45%
3.95
16.39%
104.10
104.40
15.41%
15.34%
600.00
27-Jan-12
27-Jan-22
14.20 14-MAR-2024
0.00%
4.88
14.20%
99.70
100.00
14.25%
14.19%
371.68
14-Mar-14
14-Mar-24
10.00 23-JUL-2030
0.00%
6.31
10.00%
74.50
74.80
14.07%
14.01%
591.57
23-Jul-10
23-Jul-30
12.1493 18-JUL-2034
0.00%
6.19
12.15%
84.00
84.30
14.64%
14.59%
130.00
18-Jul-14
18-Jul-34
Off-the-Run Bonds
4.00 23-APR-2015
-0.09%
0.32
4.00%
96.75
96.90
13.61%
13.15%
535.00
23-Apr-10
23-Apr-15
9.85 27-JUL-2017
0.32%
2.09
9.85%
88.42
88.57
15.38%
15.30%
20.00
27-Jul-07
27-Jul-17
9.35 31-AUG-2017
0.32%
2.19
9.35%
87.03
87.18
15.37%
15.30%
100.00
31-Aug-07
31-Aug-17
10.70 30-MAY-2018
0.26%
2.72
10.70%
87.98
88.28
15.30%
15.18%
300.00
30-May-08
30-May-18
7.00 23-OCT-2019
0.23%
3.72
7.00%
72.42
72.72
15.24%
15.13%
233.90
23-Oct-09
23-Oct-19
15.00 28-NOV-2028
-0.15%
6.06
15.00%
109.45
109.75
13.48%
13.43%
75.00
28-Nov-08
28-Nov-28
12.49 22-MAY-2029
-0.14%
6.33
12.49%
93.86
94.16
13.46%
13.41%
150.00
22-May-09
22-May-29
8.50 20-NOV-2029
-0.14%
6.90
8.50%
68.48
68.78
13.44%
13.38%
200.00
20-Nov-09
20-Nov-29
Foreign Exchange Market (NGN Naira/USD Dollar)
Inter-Bank
Spot
BID
180.60
ASK
180.70
SPREAD
MID PRICE
0.06%
CHANGE
YTD
180.65
-1.08%
-11.58%
190
180
Forward Quotes
7 DAY
181.03
181.13
0.06%
181.08
-1.08%
-12.04%
170
14 DAY
181.31
181.45
0.08%
181.38
-1.08%
-12.01%
160
1 MONTH
181.45
181.98
0.29%
181.71
-1.08%
-12.00%
2 MONTH
182.42
183.21
0.43%
182.81
-1.08%
-11.96%
3 MONTH
184.17
184.43
0.14%
184.30
-1.08%
-11.96%
6 MONTH
185.87
188.63
1.46%
187.25
-1.08%
-11.61%
12 Month
191.49
197.60
3.09%
194.55
-1.08%
-11.53%
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