Culled—Proshare
February 12, 2018/Afrinvest
The Treasury Bills (“T-Bills”) market performance was largely bearish last week as average yields across tenors inched up 74 bps from 14.7%, to 15.4% amidst tight liquidity for major part of the week. Notwithstanding, the CBN upheld its mop up of system liquidity with its OMO auctions which held on 4 of the 5 trading days. Please see below indicative rates for today:
Kindly note the above rates are valid till 1:30pm today (12-Feb-2018) This week, we expect rates to remain around current levels on the back of improved liquidity levels in the system towards the end of last week and the frequency of OMO auctions is expected to ease as the Apex Bank conducts the 4th Primary Market Auction (“PMA”) for the year with a total of N176.0bn on offer. We also anticipate PMA stop rates to hover around the last stop rates with sustained interest in the 364-day instrument on the back of attractive true yield of approximately 15.8%. Please see below amount on offer and previous stop rates in the table below:
|