Daily Market Update –January 16, 2013

The Money Market
Interest rates rose by 0.50% today, as market liquidity fell sharply to a 3-month record low due to the OMO debits. Consequently, secured and overnight funds traded at 14.00% and 14.25% respectively. Market liquidity is expected to improve as it anticipates the credit of statutory funds towards the end of the week and also a total credit of ₦147 billion treasury bills maturity into the system tomorrow.

Treasury Bills Market
The Treasury Bills Market was fairly active as it witnessed buying interest on the medium tenured bills, dropping yields by an average of 0.15%. Emphasis was seen on the 6/6 (141 days) which opened at 11.85% offer, and dropped by 0.35% to close at 11.50% offer.

The Bonds Market
The Bond Market opened higher than previous close and was quite volatile with price appreciation witnessed across the bonds re-opening at the auction; with the most emphasis on the April 2017 whose price went up by 50 Kobo. Other trading bonds closed 10 kobo lower than the opening levels.

The Foreign Exchange Market
The Foreign Exchange Market opened today at ₦157.17 to a dollar with the naira depreciating by 1kobo due to demand pressures. Unspecified inflows from some oil companies prevented further depreciation of the naira. The naira had depreciated yesterday by 38 kobo.

At the WDAS auction held today, the Central Bank was only able to sell $106.48 million at ₦155.72 to the dollar against the $120.00 million it offered for sale. The CBN had sold $18.20 million at ₦155.72 to the dollar during last Monday's auction.

The Stock Market
Trading activities at the Nigerian Stock Exchange (NSE) remained bullish today, as market capitalisation of equities appreciated by 1.37% to close at ₦9.63 trillion, from ₦9.50 trillion.

The NSE All-Share Index also appreciated by 1.37% to close at 30,093.83 basis points as against yesterday’s record of 29,686.85; putting year-to-date returns at 7.18%.

UBA topped the volume chart today with 107.93 million units of shares valued at ₦725.08 million, while DIAMOND BANK followed, exchanging 49.78 million worth ₦338.99 million.

Market breadth was positive today with 48 gainers against 13 losers. UAC-PROP, UACN and PZ topped the gainers’ chart, gaining 10.00%, 10.00%, and 9.99% respectively, while PORTPAINT, JOHNHOLT and AGLEVENT led market losers with respective losses of 5.00%, 4.91% and 4.73%.