Daily Market Update –April 17, 2013

The Money Market
Interest rates opened at 12% levels upon the ₦200 billion OMO announcement, however, during market, statutory funds estimated at ₦245 billion hit the system and rates dropped to sub 11% levels reflecting the sharp improvement in market liquidity.

There are indications that the CBN will continue OMO sessions in a bid to mop up excess liquidity. Interest rates are expected to remain around 11%.

Treasury Bills Market
The Treasury bills market was bearish today with an increase in yields by an average of 0.20% across most maturities. This was principally because of the CBN OMO auction of ₦200 billion for settlement today.

The Bonds Market
Activity was minimal with a drop in prices seen across board. Trading was centred on Jan 2022, April 2017 and June 2019 with an average drop in price of 40 kobo. A total of ₦104.8 billion was re-opened at today’s bond auction: ₦34.8 billion on Jan 2022, ₦35 billion on June 2019 and ₦35 billion on July 2030.

The Foreign Exchange Market
The Foreign Exchange Market opened today at ₦158.10 to a dollar with the naira depreciating further by 20 kobo due to demand pressures. Unspecified inflows from some oil companies prevented further depreciation of the naira.

At the WDAS auction held today, the Central Bank sold $266.19 million at ₦155.75 to the dollar against the $232.48 million it sold at the same rate during last Monday’s auction.

The Stock Market
Trading activities at the Nigerian Stock Exchange (NSE) turned bullish today, as market capitalisation of equities appreciated marginally by 0.05% to close at ₦10.66 trillion, from ₦10.65 trillion.

The NSE All-Share Index also appreciated by 0.05% to close at 33,352.97 basis points as against yesterday’s figures of 33,334.67; putting year-to-date returns at 18.78%.

WEMA BANK topped the volume chart today with 302.03 million units of shares valued at ₦422.75 million, while ECOBANK TRANSNATIONAL followed, exchanging 113.14 million worth ₦1.81 billion.

Market breadth was negative today with 18 gainers against 38 losers. AGLEVENT, PZ and BOCGAS topped the gainers’ chart, gaining 9.40%, 9.34% and 6.25% respectively, while CAPHOTEL, DEAPCAP and WAPIC led market losers with respective losses of 9.91%, 9.90% and 9.40%.