Fixed Income in Focus:
week, despite a brief bearish reversal on Tuesday. In bonds, early selling gave way to renewed demand across the belly and long ends, with yields on the selected 2031s–2038s compressing by an average of ▼c.21bps WoW. System liquidity remained volatile, ranging between c.₦2.55tn and c.₦4.51tn before closing at c.₦2.98tn.
The bullish tone extended to T-bills, as the auction attracted ₦3.62tn in subscriptions against a ₦700bn offer. The benchmark bill cleared at 17.35%, ▼31bps from the previous auction, before rallying to 16.95% by Friday, ▼40bps below stop. Yields on the other tracked June and July bills compressed by 5–15bps WoW. OMO activity picked up following the CBN’s first auction in over a week, clearing at 20.60%, 20.29% and 20.15%. Secondary trading was mixed thereafter, with the 8-Dec bill closing at 19.80%, ▼15bps WoW.
Nigerian Equities:
The ASI declined 0.84% WoW, as profit-taking interrupted the recent rally. Insurance (+1.72%) was the sole gainer, while Banking (-0.69%)& Consumer goods (-0.35%) closed lower. The pullback reflected position trimming in recent outperformers, although H1 earnings releases & First HoldCo’s enhanced dividend policy helped cushion sentiment.
NTB Auction Result
| 91-day | 182-day | 364-day | |
| Sales (₦‘bn) | 130.722 | 99.177 | 1,017,297 |
| Stop Rates | 16.30% | 16.50% | 17.35% |
FI Weekly Snapshot
| FGN Bond | Open (Yield) | Close (Yield) | Chg WoW |
| % | % | (Bps) | |
| Feb-31 | 17.40 | 17.20 | 20 |
| May-33 | 17.55 | 17.30 | 20 |
| Feb-34 | 17.55 | 17.30 | 20 |
| Jan-35 | 17.55 | 17.35 | 20 |
| Apr-37 | 17.55 | 17.35 | 20 |
| Jun-38 | 17.55 | 17.35 | 20 |
| NTB | Open | Close | Effective Yield |
| % | % | % | |
| 29-Jul-27 | 17.24 | 16.95 | 16.95 |
| 15-Jul-27 | 17.10 | 16.95 | 16.95 |
| 17-Jun-27 | 17.30 | 17.05 | 17.05 |
Indices Watch 1-Yr Performance %
NSE 30 : Gainers and Losers
The Week Ahead…
The week is set against no scheduled primary-market supply following the withdrawal of the mid-week NTB auction by the DMO. Expected inflows of c.₦2.70tn from OMO and NTB maturities should support liquidity and drive demand for previously issued bills, while bond activity is expected to remain concentrated at the belly of the curve. However, the CBN could conduct an OMO auction to absorb part of the inflows and moderate liquidity.
For equities,after July’s strong ₦11.11 trillion market gain and H1 earnings season, we expect trading based on earnings and dividends. Selective demand should persist in strong banking, energy and industrial names, while the proposed Dangote Refinery listing remains a key catalyst.
