News Update:
With the inflation rate still hovering at above 16 per cent, the Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele, has said the bank would be failing in one of its key mandates if it cuts the Monetary Policy Rate (MPR) at this time. The comment by Emefiele, which came just as the CBN’s Monetary Policy Committee (MPC) commences its 257th meeting Monday, signals the likely outcome of the meeting. – THISDAY”


“The bond market traded on a bearish note in today’s session with significant selloffs witnessed across the yield curve, especially on the 2020 and 2024 bond maturities which both experienced a 10bps yield uptick. The bearish sentiment was largely driven by offshore sales and weak demand for bonds by local investors. Consequently, yields rose by 5bps average across the curve. We expect the market to remain bearish barring any renewed demand for FGN bonds

The T-bills market traded on a slightly bullish note today with demand skewed to the short and medium end of the curve due to buoyant liquidity in the mon- ey market. Consequently, yields declined by an average of 15bps on the short and medium end while the long end traded flat. We expect the bullish trend to continue tomorrow, however at a slow pace as the CBN is likely to continue with its supply of T-bills via OMO.

The money market rates opened the week on a slightly higher note with the OBB and O/N rates closing today at 17.33% and 18.33%, up from last week closing level of 14% and 14.92%. This was due to the $100million wholesale SMIS auction conducted by the CBN. Market liquidity is expected to close at N145billion today as c.N68billion inflows from bond coupon payments helped to moderate market liquidity. We expect rates to remain elevated tomorrow as the CBN continues with its liquidity management actions.”

ECONOMIC INDICATORS
Inflation (YoY) 16.10%
Exchange Rate ($) N305.75
MPR 14.00%
Foreign Reserves $30.51Bn
Brent Crude $48.61


For further details on Market statistics, Kindly visit

https://brandspurng.com/daily-market-report-fixed-income-money-market-and-fx-july-25-2017/

Thank you for the update